{"id":129972,"date":"2021-06-24T09:38:12","date_gmt":"2021-06-24T09:38:12","guid":{"rendered":"https:\/\/precoinnews.com\/?p=129972"},"modified":"2021-06-24T09:38:12","modified_gmt":"2021-06-24T09:38:12","slug":"covid-related-death-claims-are-a-concern","status":"publish","type":"post","link":"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/","title":{"rendered":"‘Covid-related death claims are a concern’"},"content":{"rendered":"

‘The overall death claims have gone up.’<\/strong><\/p>\n

“The firm has paid more than 1,300 Covid-related death claims amounting to Rs 74 crore,” Bajaj Allianz Life Insurance Managing Director and Chief Executive Tarun Chugh<\/strong> tells Subrata Panda\/Business Standard<\/em><\/strong>.<\/p>\n

How has this phase of lockdown impacted business?<\/strong><\/p>\n

April was not as bad as last year, but May numbers have seen an impact.<\/p>\n

I will be surprised if there is any significant growth in May compared to the year-ago period despite the fact there was a strict lockdown back then.<\/p>\n

If there is any growth, that would be because the risk perception is higher among consumers. Hopefully, things will improve in June.<\/p>\n

Has the demand for term products increased?<\/strong><\/p>\n

Momentum in term products is back. The first quarter of last year was a bumper quarter for term products.<\/p>\n

But as insurance rates went up last year and Covid infections came down, we saw term business slowing down.<\/p>\n

Overall, the numbers were higher for the full year, due to the first two quarters. But in Q4, the momentum was low.<\/p>\n

Why have the underwriting norms become stricter?<\/strong><\/p>\n

The entire thing depends on reinsurers. Last year was not a great year for the reinsurers so the underwriting has become tougher from their side.<\/p>\n

But, if a person is willing to go through medicals, give the proper documentation, and declare his\/her health status clearly, it’s not that difficult to get a life cover.<\/p>\n

There are more checks that we have added now. We have added a Covid question.<\/p>\n

Will term prices go up again?<\/strong><\/p>\n

Term prices were falling from 2008-2009 to 2016-2017, making the prices in India one of the lowest in the developed world.<\/p>\n

Now, there has been a hike in price, but it was waiting to happen.<\/p>\n

There could be another hike as prices will tend to go up now, directionally.<\/p>\n

Has the death claim experience been bad in FY21 and do you expect it to worsen further in FY22 due to the second wave?<\/strong><\/p>\n

Yes, the overall death claims have gone up.<\/p>\n

It was more than what we had planned and much more than FY20.<\/p>\n

The firm has paid more than 1,300 Covid-related death claims amounting to Rs 74 crore (Rs 740 million<\/em>).<\/p>\n

At this juncture, I would say it is a concern, but we need to wait and watch because the reporting of claims is a bit delayed.<\/p>\n

Has there been a lot of demand for group term policies?<\/strong><\/p>\n

Yes, there has been a demand for such policies, and death claims from such policies have also been more.<\/p>\n

The experience in group term has been worsening because group term is more efficient in reporting claims.<\/p>\n

The underwriting element is getting stricter and tougher in group term.<\/p>\n

It’s not going to be easy to get a very high cover.<\/p>\n

Ultimately, reinsures have a bigger part of the risk for that they get a handsome fee.<\/p>\n

They have made money earlier but now they are going through a rough time.<\/p>\n

In the long term, would getting vaccinated be made mandatory to get a life cover?<\/strong><\/p>\n

We have not put that kind of requirement as of now.<\/p>\n

We will have to wait and see. At this juncture, I am not insisting on vaccinations, otherwise, customers will not be able to buy these products.<\/p>\n

There is a natural need for insurance now and I cannot deny providing products.<\/p>\n

Is there any growth target for FY22?<\/strong><\/p>\n

We were in the process of setting a target, but now we have gone back to what we did last year.<\/p>\n

We will work on scenarios, instead of targets.<\/p>\n

There is no certainty, we do not know if there will be the third wave and we do not know to what extent the economy will be opened up.<\/p>\n

Source: Read Full Article<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

‘The overall death claims have gone up.’<\/p>\n","protected":false},"author":3,"featured_media":129971,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23051],"tags":[],"yoast_head":"\n'Covid-related death claims are a concern' - Pre Coin News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"'Covid-related death claims are a concern' - Pre Coin News\" \/>\n<meta property=\"og:description\" content=\"‘The overall death claims have gone up.’\" \/>\n<meta property=\"og:url\" content=\"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/\" \/>\n<meta property=\"og:site_name\" content=\"Pre Coin News\" \/>\n<meta property=\"article:published_time\" content=\"2021-06-24T09:38:12+00:00\" \/>\n<meta name=\"author\" content=\"mediabest\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:image\" content=\"https:\/\/precoinnews.com\/wp-content\/uploads\/2021\/06\/Covid-related-death-claims-are-a-concern.jpg\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"mediabest\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/\",\"url\":\"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/\",\"name\":\"'Covid-related death claims are a concern' - Pre Coin News\",\"isPartOf\":{\"@id\":\"https:\/\/precoinnews.com\/#website\"},\"datePublished\":\"2021-06-24T09:38:12+00:00\",\"dateModified\":\"2021-06-24T09:38:12+00:00\",\"author\":{\"@id\":\"https:\/\/precoinnews.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a\"},\"breadcrumb\":{\"@id\":\"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/precoinnews.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Business\",\"item\":\"https:\/\/precoinnews.com\/category\/business\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"‘Covid-related death claims are a concern’\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/precoinnews.com\/#website\",\"url\":\"https:\/\/precoinnews.com\/\",\"name\":\"Pre Coin News\",\"description\":\"precoinnews.com\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/precoinnews.com\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/precoinnews.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a\",\"name\":\"mediabest\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/precoinnews.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/f5f13cb3b94fc348d515c0951f6ca073?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/f5f13cb3b94fc348d515c0951f6ca073?s=96&d=mm&r=g\",\"caption\":\"mediabest\"}}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"'Covid-related death claims are a concern' - Pre Coin News","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/","og_locale":"en_US","og_type":"article","og_title":"'Covid-related death claims are a concern' - Pre Coin News","og_description":"‘The overall death claims have gone up.’","og_url":"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/","og_site_name":"Pre Coin News","article_published_time":"2021-06-24T09:38:12+00:00","author":"mediabest","twitter_card":"summary_large_image","twitter_image":"https:\/\/precoinnews.com\/wp-content\/uploads\/2021\/06\/Covid-related-death-claims-are-a-concern.jpg","twitter_misc":{"Written by":"mediabest","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/","url":"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/","name":"'Covid-related death claims are a concern' - Pre Coin News","isPartOf":{"@id":"https:\/\/precoinnews.com\/#website"},"datePublished":"2021-06-24T09:38:12+00:00","dateModified":"2021-06-24T09:38:12+00:00","author":{"@id":"https:\/\/precoinnews.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a"},"breadcrumb":{"@id":"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/precoinnews.com\/business\/covid-related-death-claims-are-a-concern\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/precoinnews.com\/"},{"@type":"ListItem","position":2,"name":"Business","item":"https:\/\/precoinnews.com\/category\/business\/"},{"@type":"ListItem","position":3,"name":"‘Covid-related death claims are a concern’"}]},{"@type":"WebSite","@id":"https:\/\/precoinnews.com\/#website","url":"https:\/\/precoinnews.com\/","name":"Pre Coin News","description":"precoinnews.com","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/precoinnews.com\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/precoinnews.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a","name":"mediabest","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/precoinnews.com\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/f5f13cb3b94fc348d515c0951f6ca073?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/f5f13cb3b94fc348d515c0951f6ca073?s=96&d=mm&r=g","caption":"mediabest"}}]}},"_links":{"self":[{"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/posts\/129972"}],"collection":[{"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/comments?post=129972"}],"version-history":[{"count":0,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/posts\/129972\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/media\/129971"}],"wp:attachment":[{"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/media?parent=129972"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/categories?post=129972"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/tags?post=129972"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}