Venkatasamy Jagannathan (79), founder of the standalone health insurance company Star Health and Allied Insurance Company Ltd., has resigned from the board of the company.

“We wish to inform you that Mr. Venkatasamy Jagannathan, vide email dated June 10, 2023, has tendered his resignation from the Board of the Company with immediate effect, i.e., from June 10, 2023,” the company said in a communiqué to stock exchanges.

On April 28, 2023, the company said “Jagannathan, Chairman & Chief Executive Officer (CEO) of Star Health and Allied Insurance Company Ltd., has relinquished his position as CEO and would continue as Non-Executive Director and Non-Executive Chairman of the Board, which will be effective from the close of business hours on May 4, 2023.”

However, with his resignation, Jagannathan has quit the board positions too. The reason for his sudden resignation could not be ascertained.

Jagannathan is credited with having built Star Health as a strong brand in the health insurance space and has also made it a profitable venture at a time when health insurers struggle to generate profits.

A veteran of the insurance industry with over five decades of experience, Jagannathan served as the Chairman and Managing Director of PSU general insurance firm United India Insurance before founding Star Health.

In FY23, Star Health achieved an underwriting profit of ₹204 crore with a combined ratio of 95.3 per cent and an overall profit after tax of ₹619 crore, which is the highest in its history. It has a strong presence in the retail health segment, with a market share of about 34 per cent. It has an agency force of more than 6.25 lakh.

During the first two months of this fiscal, Star Health reported a gross direct premium underwritten of ₹1,821 crore and a garnered market share of 4.16 per cent in the overall non-life space. The stand-alone health insurer’s market share is higher than that of several non-life players.

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