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15101101
(Session 2015-2017)
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ACKNOWLEDGEMENT
Training report is never the sole product of the person whose name appears on the
cover. Many people have lent technical assistance and service. I am graduated to Mr.
Yashvir Singh whose continuous encouragement and willing cooperation have been a
great help in the preparation of this training report.
I wish to express my gratitude to Mr. Yashvir Singh our project guides that
helped me in providing many books.
I express my deep sense of gratitude to Mr. Nitin Srivastav for her valuable
suggestion and up to date guidance at many stages of report which has
enabled me to complete the project on schedule.
Last but not the least I thank all who are responsible for the success of this
training report
Ankush
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DECLARATION
COMPANY HISSAR
All the information in this reports is my own and original and not copied from anywhere
else.
I also declare that I have done my work sincerely and accurately even then if any
mistake or error had kept in it, I request the readers to point out these errors and guide
me to remove these errors in future.
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PREFACE
Ankush Bathla
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CONTENTS
5. Introduction to subject 44
6. Objective of study 44
7. Policy documents 47
8. Research methodology 48
9. Questionnaire 49
10. Conclusions 51
11. Bibliography 52
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INTRODUCTION OF INSURANCE:
What is Insurance ?
The concept of insurance is quite simple. People, who are in similar trade and are
exposed to the same risks, congregate and some to an agreement that if any individual
member suffers a loss, then the loss will be shared by others and minimized in order to
enable the individual member recover from the loss and cover his ground. Similarly the
different kinds of risks can be identified and separate groups can be formed to counter
such risks and reduce the impact to a manageable proportion, in which the share could
be collected from the members either after the loss or in advance, at the time of
admission to the group. This is an exemplary sign of humanity and insurance therefore
serves the mankind to a great extent; a point most of the individuals tend to overlook,
since monetary aspect is involved. Now such is for tangible assets.
The concept of insurance has been extended beyond the coverage of tangible assets.
Exporters run the risk of importers in other country defaulting as well as losses due to
sudden fluctuations in the currency exchange rates, economic policies turmoil. These
risk are now insured. Doctors run the risk of being charged with negligence and can
subsequently liable for damages. The amount in questions can be fairly large, beyond
the capacity of individuals to bear. These are insured. Thus insurance is extended to
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intangible assets. In some countries even the voice of a singer, legs of a footballer can
be insured, even though the advantage of spread may not be available in these cases.
Satisfaction of economic needs requires generation of income from some source. If
the property, which is the source of such income, were lost fully or partially,
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Permanently or temporarily, the income too would stop. The purpose of insurance is a
safeguard against such misfortunes few, through the help of the fortune many, who
were
exposed to the same risk, but saved from the misfortune. Thus the essence of
insurance is to share losses and substitute certainty by uncertainty.
The different types of human activities that come under the umbrella of insurance are
as follows.
Stolen or robbed.
Destroyed.
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All these are non-life insurance. In conclusion one can safely say that the purpose of
insurance be it life or non-life is to transfer the financial loss to the insurance company
who spreads in over to the policyholders.
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Characteristics of Insurance
Nature of Insurance
Sharing of Risks
C0-operative Device
Valuation of Risk
Payment made on contingency
Amount of Payment
Large Number of Insured Persons
Insurance is not gambling
Insurance is not charity
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SCOPE OR KINDS OF INSURANCE
1. Life insurance
2. Fire insurance
3. Marine insurance
4. Social insurance,
5. Miscellaneous insurance.
LIFE INSURANCE
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whosen benefit the policy is taken , the assured sum of money, on the
happening of a specified event contingent on the human life.
A contract of life insurance, as in other forms of insurance, requires
that the assured must have at the time of the contract an insurable
interest in his life
Upon which the insurance is affected. In a contract of life insurance, unlike
other Insurance, interest has only to be proved at the date of the
contract, and not Necessarily present at the time when the policy falls
due.
A person can assure in his own life and every part of it, and can
insure for any sum whatsoever, as he likes. Similarly, a wife has an
insurable interest in her husband and vice-versa. However, mere natural
love and affection is not sufficient to constitute an insurable interest. It
must be shown that the person Affectining an assurance on the life of
another is so related to that other person as to have a claim
for support. For example, a sister has an insurable interest in the life of a
brother who supports her.
A person not related to the other can have insurable
interest on that other person. For example creditor has insurable
interest in the life of his debtor to the extent of the debt. A creditor
can insure the life of his debtor up to the amount of the debt, at the
time of issue of the policy. An employee has an insurable interest in
the life of the employer arising out of contractual obligation to
employ him for a Stipulated period at fixed salary. Similarly, from an
employer to the employee who is bound by the contract to serve for a
certain period of time.
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FIRE INSURANCE
Fire insurance is a contract under which the insurer in return for a consideration
(premium) agrees to indemnify the insured for the financial loss which the latter may
suffer due to destruction of or damage to property or goods, caused by fire, during a
specified period. The contract specifies the maximum amount , agreed to by the parties
at the time of the contract, which the insured can claim in case of loss. This amount is
not , however , the measure of the loss. The loss can be ascertained only after the fire
has occurred. The insurer is liable to make good the actual amount of loss not
exceeding the maximum amount fixed under the policy.
A fire insurance policy cannot be assigned without the permission of the insurer
because the insured must have insurable interest in the property at the time of contract
as well as at the time of loss. The insurable interest in goods may arise out on account
of
(i) ownership, (ii) possession, or (iii) contract.
A person with a limited interest in a property or goods may insure them to cover not
only his own interest but also the interest of others in them.
Under fire insurance, the following persons have insurable interest in the subject
matter:-
Owner
Mortgagee
Pawnee
Pawn broker
Official receiver or assignee in insolvency proceedings
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MARINE INSURANCE
Losses incidental to marine adventure perils of the seas, such as fire, war perils,
pirates, rovers, thieves, captures, Jettisons, barratry and any other perils which are
either of the like, kind or may be designed by the policy.
SOCIAL INSURANCE
MISCELLANEOUS INSURANCE
The process of fast development in the society gave rise to a number of risks or
hazards. To provide security against such hazards, many other types of insurance
also have been developed. The important among them are:
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a. Vehicle insurance on buses, trucks, motorcycles, etc.,
e. legality insurance
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II. Classification from business point of view
From business point insurance can be classified into two broad categories:
2 General Insurance
GENERAL INSURANCE
From risk point of view, insurance can be classified into four categories:
1. Personal insurance
2. Property insurance
3. Liability insurance
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FIDELITY GUARANTEE INSURANCE
The Malhotra committee was set up with the objective of completing the reforms
initiated in the financial sector.
The reforms were aimed at “creating a more efficient and competitive financial
system suitable for the requirements of the economy keeping in mind the structural
changes currently underway and recognizing that insurance is an important part of
the overall financial system where it was necessary to address the need for the
similar reforms….”
In 1994, the committee submitted the report and some of the key recommendations
Included:
i) Structure:
• Government should take over the holdings of GIC and its subsidiaries so that
these subsidiaries can act as independent corporations.
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ii) Competition
Private Companies with a minimum paid up capital of Rs. 1bn should be allowed to
enter the industry.
• No company should deal in both Life and General Insurance through a single
entity.
• Foreign companies should be allowed to enter the industry with the collaboration
with the domestic companies.
• Only one State Level Life Insurance Company should be allowed to operate in
each state
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iv) Investments
• GIC and its subsidiaries are not to hold more than 5% in any company.
(There current holdings to be brought down to this level over a period of time)
v) Customer Service
The committee emphasized that in order to improve the customer services and
increase the coverage of the insurance industry should be opened up to competition.
But at the same time, the committee felt the need to exercise caution as any failure
on the part of new players could ruin the public confidence in the industry.
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Hence, it was decided to allow competition in a limited way by
stipulating the minimum capital requirement of Rs. 100 crores. The
committee felt the need to provide greater autonomy to insurance
companies in order to improve their performance and enable them act
as independent companies with economic motives. For this purpose, it
had proposed setting up an independent regulatory body.
Reforms in the Insurance sector were initiated with the passage of the
IRDA Bill in Parliament in December 1999. The IRDA since its
incorporation as a statutory body in April 2000 has fastidiously stuck to
its schedule of framing regulations and registering the private sector
insurance companies.
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Restructuring of GIC
The GIC was converted into a national re-insurer and its four
subsidiaries were restructured as independent companies. In
December, 2000 the Parliament passed a bill de-linking the four
subsidiaries from GIC in July, 2002. These are
National insurance co.ltd
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Life insurance industry today
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List of standalone health insurance companies:
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What is Healthcare
You have heard of the saying “Health is Wealth”. The word ‘Health’
was derived from the word ‘hoelth’, which means ‘soundness of the
body’.
Determinants of health
a) Lifestyle factors
Lifestyle factors are those which are mostly in the control of the
individual concerned e.g. exercising and eating within limits,
avoiding worry and the like leading to good health; and bad
lifestyles and habits such as smoking, drug abuse, unprotected sex
and sedentary life style (with no exercise) etc. leading to diseases
b) Environmental factors
c) Genetic factors
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Diseases may be passed on from parents to children through
genes. Such genetic factors result in differing health trends
amongst the population spread across the globe based on race,
geographical location and even communities.
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Factors affecting the health systems
in India
The Indian health system has had and continues to face many
problems and challenges. These, in turn, affect the nature and extent
of the healthcare system and the requirement at the individual level
and healthcare organization at the structural level. These are
discussed below:
The level of poverty has also had its effect on the people’s
ability to pay for medical care.
Social trends
Life expectancy
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Evolution of Health Insurance in India
While the government had been busy with its policy decisions on
healthcare, it also put in place health insurance schemes.
Insurance companies came with their health insurance policies
only later. Here is how health insurance developed in India:
Maternity benefit
Disability benefit
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The ESIS was soon followed by the Central Government Health
Scheme (CGHS), which was introduced in 1954 for the central
government employees including pensioners and their family
members working in civilian jobs. It aims to provide
Comprehensive medical care to employees and their families and is
partly funded by the employees and largely by the employer
(central government).
The contribution from employees is quite nominal though
progressively linked to salary scale – Rs.15 per month to Rs.150
per month.
In 2010, CGHS had a membership base of over 800,000 families
representing over 3 million beneficiaries.
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c) Commercial health insurance
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COMPANY PROFILE
Founded 2006
Website www.starhealth.in
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OVERVIEW
Star Health and Allied Insurance Co Ltd commenced its operations in 2006
with the business interests in Health Insurance, Overseas Mediclaim Policy
and Personal Accident. With no other insurance category to focus and
divide our attention, we use our resources to focus on service excellence,
design products and use core competency of innovation to deliver the best
to our customers.
CAPITAL
We have built a promising path for our future with a capital base of Rs.733
crores. We have emerged as India’s first stand-alone Health Insurance
Company, dealing in personal accident, medi-claim and overseas travel
insurance.
Under a decade, we have progressed by leaps and bounds. With a nation-
wide customer base to boast off, we have raised the benchmark of the
health insurance sector.
Tata Capital invested in the company in 2013, thus increasing the
company total capital to Rs5.49 billion
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VISION:
To Become The Largest And Most Preferred Health Insurance
Company In India.
To Provide Financial Security for Health Care Management
MISSION:
To Offer Wide Range of Innovative Products / Services.
To Provide Prompt, Courteous And Quality Service To Customers.
To Leverage State Of Art Technology For Customer Satisfaction.
To Adopt Best Management Practices In Business Operations.
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PRODUCTS
Health insurance
Travel insurance
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FEATURES
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SWOT ANALYSIS
[1] STRENGTHS: 1.
Earlier entry:
2. Business Growth:
WEAKNESS: 1. Low
investment-
2. Lack of awareness:
There is rising competition in health insurance market from other co. such as
Hdfchealth, maxbupa etc.
[3] OPPORTUNITIES:
in per capita income in the coming years, which will translate into stronger demand for
insurance products.
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2. Strong future growth:
Strong growth can be sustained for 10-20 years,. There is plenty of room for growth in
personal accident, health and other liability classes.
Rising household income and risk awareness will be the rise in more demand for these
lines of health business in the future.
[4]THREATS:
1. New Arrival:
2. Govt. policies:
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HEALTH INSURANCE PLAN
Features:
1. Over 400 Day Care procedures
2. Expenses incurred towards cost of Health Check up after 3 years worth Rs-5,000/-
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A policy to cover the entire family
Reinstatement of
100% for coverage of Rs.3 lakhs and above
sum assured
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Senior Citizens Red Carpet Health Insurance Policy :
Parents have spent their life trying to make our life secure. It’s time you do the same
for them in their old age. Senior Citizen Red Carpet Policy will help parents live worry
free and experience absolute security.
Features:
Co-Payment:
50% of each and every claim relating to pre-existing diseases and 30% of each and
every claim for all other claims
Pre-Existing Diseases/Illness:
Covered after 12 months of continuous coverage
Tax Benefits:
Amount paid by any mode other than by cash for this insurance is eligible for relief
under Section 80D of the Income Tax Act.
FreeLook Period:
A free look period of 15 days from the date of receipt of the policy is available for
reviewing the policy terms and conditions.
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Star Health Travel Insurance
Eligibility :
This policy can be purchased for anyone above the age of 6
months. Only Indian citizens can get this cover.
Benefits:
Policyholders who are travelling outside India on vacation or business can make
use of this policy. General cover also includes possibilities like hijack distress,
medical emergencies, flight delay, repatriation etc.
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It even covers third party bodily injury and property loss. Monetary loss because
of trip cancellation due to the death/injury of a family member will be reimbursed
by the company.
The costs related to legal claims including that for bail bond (for false arrest or
detention) will be covered.
If the insured has caused bodily injury to third party or damage to third party
property, the costs will be covered.
Available for a sum insured limit of USD 1,00,000, USD 2,50,000 and USD
5,00,000, this corporate insurance plan is available for travel to countries across
the world including Canada and USA.
Eligibility:
An insured person, his/her spouse and up to two dependent children below
18 years can be covered. They must all be Indian citizens.
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Star Health Travel Insurance Claim Process:
o call the toll-free number to contact Star Health Insurance claims
assistance and register your claim.
o You will be asked to fill out a claims form and send it either by fax or
mail,
o must keep the following ready before making a claim: copy of passport
with immigration stamp, policy copy, original bills/invoices/receipts,
copy of police complaint
o Approval and reference number of assistance company, proof of
expenses and a copy of your e-ticket.
o Once the surveyor has assessed your case and documents, your claim
will be processed.
Features:
o Cover for Accident death, Permanent Disability and temporary
Disablement. Compensation for Permanent Total Disablement is 150%
of the sum insured. Enhanced weekly compensation up to Rs.15000/-
per week (maximum 100
o weeks).
o Educational Grant for dependent children
o Cumulative bonus 5% per annum maximum 50%
Benefits:
Additional free benefits
Policy Benefits:
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Table A – covers Accidental Death
Eligibility:
o Any person between 18 and 70 years of age at the time of entry can
take this insurance. Lifelong renewal.
o Dependent children covered from 5 months
o Policy benefits are applicable individually for each person covered
under family.
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INTRODUCTION TO TOPIC
STAR health insurance given you an option to choose your family health
plan. Premium and policy according to your budget and requirements
To know about market share of star health in Indian health insurance sector?
To understand about the company policy
How to calculate premium?
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STAR FAMILY HEALTH OPTIMA INSURANCE PLAN
Features:
Expenses incurred towards cost of Health Check up after 3 years worth Rs-
5,000/-
Bonus:
Bonus in respect of a claim-free year of insurance is allowable upto the limits
specified. The bonus so granted will be reduced in the same order in which it was
given following a claim. However the Basic sum insured shall not be reduced.
Immediately upon exhaustion of the limit of coverage during the policy period, there
shall be an automatic restoration of the basic sum insured by 100% where the sum
insured is Rs.3,00,000/- and above.
Up to 200,000 Nil
300,000 and above 100%
This benefit provides additional indemnity upto specified limits, when the sum
insured under the policy is exhausted / exceeded. This can be utilized for any claim
payable under the policy.
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Policy Benefits :
Eligibility:
Any person aged between 18 years and 65 years
Beyond 65 years. It can be renewed for life time.
Lifelong renewal. This policy is on floater basis.
Family: Proposer, spouse, dependent children from 16 days up to 25 years
Child from 16th day of age can be covered as part of family
Co-Payment:
A co-payment of 20% of each and every claim applicable for fresh as well as renewal
policies for insured persons whose age at the time of entry is above 60 years.
Pre-Existing Diseases/Illness:
Coverage available after 48 months of continuous insurance without break with any
Indian insurance company.
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Pre-Acceptance medical screening:
Tax Benefits:
Amount paid by any mode other than by cash for this insurance is eligible for relief
under Section 80D of the Income Tax Act.
A free look period of 15 days from the date of receipt of the policy is available for
reviewing the policy terms and conditions. In case insured is not satisfied he can
seek cancellation of the policy and in such event the Company will allow refund of
premium after adjusting the cost of pre-acceptance of medical screening , stamp
duty charges and proportionate risk premium for the period concerned provided no
claim has been made until such cancellation
ADVANTAGE:
PREMIUM CALCULATION
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RESEARCH METHODOLOGY
DATA COLLECTION:
SAMPLING PLAN
Sample unit: Data was gathered from student, government job & private person
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QUESTIONAIRE DESIGN
QUESTIONNAIRE ANALYSIS
Respondents =100
(1)Have you got a health insurance plan for you and your family?
Yes No Total
4 96 100
Yes No Total
2 98 100
Yes No Total
50 50 100
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(4)If yes, what according to you should be minimum sum insured?
Name……………………………Age..............................................
Family members................................Occupation.........................................
Mobile no.......................................................
Address..........................................................................
FINDINGS
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CONCLUSION
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BIBLIOGRAPHY
WEBSITES:
www.google.com
www.starhealth.in
www.wikipedia.org
NEWSPAPERS:
Times of india
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