What is a group insurance Scheme?
Group Insurance Scheme is life insurance or Health Insurance protection for groups of people in the same contract. This scheme is ideal for employers to cover their employees and retired employees. Also, informal groups like Cultural Associations, societies, etc. can go for group insurance for their members. These plans may be in the form of…
Read article Reinsurance: Insurance for insurance companies
Reinsurance is a process whereby one entity (the reinsurer) takes on all or part of the risk covered under a policy issued by an insurance company in consideration of a premium payment. In other words, it is a form of insurance cover for insurance companies. The guiding principle of the regulatory framework in India is…
Read article Types of Intermediaries in insurance sector
Distribution of insurance is handled in several ways. The most common is through the use of insurance intermediaries. Insurance intermediaries serve as the critical link between insurance companies seeking to place insurance policies and consumers seeking to procure insurance coverage. The IRDAI has issued various specific regulations to govern individuals and entities that can represent…
Read article Insurance Repository: Advantages of holding insurance policies in electronic form
IRDAI in the year 2011 introduced the Insurance Repository (IR) system to provide policyholders a facility to keep insurance policies in electronic form and to undertake changes, modifications, and revisions in the insurance policy with speed and accuracy to bring about efficiency, transparency, and cost reduction in the issuance and maintenance of insurance policies. Insurance…
Read article Legislations Governing Operation of Insurance Companies in India
The insurance industry of India has 57 insurance companies -24 are in the life insurance business, while 34 are non-life insurers. Among the life insurers, LIC is the sole public sector company. There are six public sector insurers in the non-life insurance segment. In addition to these, there is a sole national re-insurer namely General…
Fundamental Principles Governing Insurance Products
Insurance is a legal agreement between an insurer (insurance company) and an insured (individual/legal entity), in which an insured receives financial protection from an insurer for the losses he may suffer under specific circumstances. In insurance policy, there are three important terms viz. Premium, Sum insured, Sum assured. Premium: The insured needs to pay a…
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