Health insurance grows 42% in Apr-Oct

Despite the turmoil in the insurance sector after the cashless mediclaim facility was withdrawn in July by insurance companies and reinstated later in September, the health insurance sector has witnessed 42 per cent growth during April-October of the current fiscal, according to leading insurance company Tata AIG .

Public sector and private insurance companies reinstated the cashless mediclaim facility after it withdrew the facility earlier in July this year accusing hospitals of overcharging for the service.

Insurance companies are now cautious and are offering cashless mediclaim on a case-to-case basis for individuals. However, corporate clients are able to enjoy the facility without any riders.

Tata AIG is bullish about the health insurance sector and sees this portfolio as next to auto. "Health insurance is turning out to be a major component of the insurance sector as it has 30 per cent of the current market share, while it is 48-49 per cent for the auto sector," Gaurav D. Garg, chief executive officer (CEO) and managing director (MD) of Tata AIG General Insurance Company told reporters on Thursday.

Courtesy: Mail Today