Bonjour, new guests from small-town India
Puneet Dhawan of Accor is brimming with ideas on ways to revive the hospitality sector
Nilesh Sathe, Member (Life), at IRDAI
Life insurers need to be careful about fraudulent claims and improve checks from the policy issuance stage, said Nilesh Sathe, Member (Life) at the Insurance Regulatory and Development Authority of India (IRDAI).
Speaking at an event organised by Association of Insurance Claims Management (AICM), Sathe said the insurance industry has to ensure that money does not flow to dishonest people.
“Fraudulent claims occur because of wrong selection of lives, and focus on increasing the topline and showing growth. Underwriting at the basic stage needs to improve and distributors, such as agents, should be trained.”
Ganesh Iyer, President of AICM, said there is a clear trend of high-value fraudulent claims in the industry.
Life insurers have been bracing for a surge in fraudulent claims after the implementation of Section 45 in the Insurance Amendment Bill, which says that life insurers cannot repudiate a claim after three years of the policy being in force, even if a fraud is detected.
Section 45
Sathe said insurers have to live with Section 45 since it is part of the Insurance Act, but at the same time ensure that the interest of the industry is protected. He said that after three to five years, when sufficient data is available to show that Section 45 has done significant damage, the industry can take it up with the Centre for amendment. “Many a time, when a claim is not repudiated, most insurers simply write ‘claim rejected’ or ‘repudiated’, but it is better if insurers write a speaking order, as it will carry more weightage when it is taken to court,” Sathe said.
The regulator, he said, will soon come out with nine regulations that will deal with different areas, such as insurers’ expenses, commissions, and investments. He added that the regulator is looking at streamlining commissions across different segments, such as life, non-life and health.
Meanwhile, Experian, a global information services company, is in the process of setting up an insurance repository for life insurers, which will be active in the next two weeks, said Mohan Jayaraman, Managing Director of Experian Credit Information, and Country Manager of Experian India. The firm has a database of over 40 banks and non-banking finance companies currently on its Hunter fraud detection model.
Puneet Dhawan of Accor is brimming with ideas on ways to revive the hospitality sector
Citroen’s first vehicle sports a novel design and European interiors. It is also meant to be as comfortable as ...
The pandemic is only the tip of the iceberg that the country’s cash-poor airlines — both regional and national ...
The government is yet to specify the framework of its recently announced old vehicle scrappage policy
With initial public offerings galore, we give you a cheat sheet to score some good grades
Biggest risk in selling funds in a rising scenario is exiting early and missing out on further gains
Go for a standard vector-borne diseases policy if you don’t have a regular health plan
No credit risk is an attraction, but note the nuances
With the public looking beyond mainstream media for reports from the ground, independent digital platforms are ...
While Supreme Court has cleared the way for women seeking longer tenures and senior roles in the Indian Army, ...
Mughal Gardens in the Capital open to visitors — albeit with Covid-19 protocol — for the annual Udyanotsav
Salty, buttery, cheese coated or with maple syrup and bacon — popcorn is lending its adaptable self to gourmet ...
Its name is the starting point of a brand’s journey and can make a big difference in the success sweepstakes
Sober spirits are the in thing
A peek into where ad spends went last year and where they are headed tomorrow
Can Swiggy Instamart disrupt the ecommerce groceries space, currently ruled by the Amazons and Big Baskets? ...
Three years after its inception, compliance with GST procedures remains a headache for exporters, job workers ...
Corporate social responsibility (CSR) initiatives of companies are altering the prospects for wooden toys of ...
Aequs Aerospace to create space for large-scale manufacture of toys at Koppal
And it has every reason to smile. Covid-19 has triggered a consumer shift towards branded products as ...
Please Email the Editor