Why should you consider Claims Settlement Ratio?

Term insurance is the most inexpensive and effective way to secure your family’s lifestyle and goals financially. However, a lot depends on your choice of the insurer as well.

2:21 min read

The pretty smile on your kids’ face in the evening when you return home is the most precious thing to experience after slogging through the day. The tough competition, demanding work environment and all the extra painful hours you put at work, doesn’t hurt when you know that all this will help your keep your promise of a better future to your family.

With a life insurance like term plan, you can keep your promise to your family even if you are no longer there. Term insurance has been the simplest and most popular life insurance plan to offer your loved ones’ adequate financial security. Term insurance premiums are lower than any other variant of life insurance plans. Thus, you can offer adequate financial protection at relatively low cost.

How to Select Best Term Insurance Plan?

Term insurance is the purest form of life insurance you can buy. Term insurance works as a promise from ‘the insurer’ who will pay the sum assured to the nominee in the case of untimely demise of the insured.

So, your dependents can be assured of achieving their life goals even if they lose the primary breadwinner. However, provided the insurer keeps the promise and provides timely payment to your nominee.

The choice of insurer thus makes a lot of difference for your family to have access to this backup in time of need.Among the factors that you can check before finalizing your life insurer ‘claim paid percentage’ summarizes the ultimate moment of truth for the family of the policyholder.

It is one factor which ensures that your family can easily access the life insurance backup when you are no longer around.

What is the Claim paid Ratio?

Claim paid ratio indicates the number of claims paid out of all the claims received within a financial year. In other words, the claim paid ratio indicates how often the insurer has kept their promise.

For example, a life insurance company receives 1000 death claims in a financial year and pays out 900 of them within the financial year, the claim paid ratio of this life insurer will be 90%.

Insurers with efficient claim paid processes naturally end up with higher claim paid ratios.

Max Life’s Claim paid Record

Among the private insurers, Max Life has put a lot of effort into improving the claim paid process and experience. The claim paid ratio of last four years says it all. Max Life insurance has been able to achieve and maintain superior claim paid ratio among the private life insurers for the last 4 financial years as per subsequent IRDAI Annual Reportfor that particular year..or Max Life Public Disclosures

  Claim Paid % FY’15^ Claims Paid % FY’16^ Claims Paid % FY’17^ Claims Paid % FY’18#
Ratio 96.03% 96.95% 97.81% 98.26%

^IRDAI Annual report
#Max Life Public Disclosures 2017-18

The Claim Paid Process at Max Life

Years of efforts have to lead to an efficient claim paid process at Max Life Insurance. The process is not only faster, but also more convenient for the bereaved families depending on it.

Unique features of Max Life’s claim paid process include:

1. Transparent Claim Filing Information

Max Life Insurance website offers a dedicated claim centre. The claim centre on the website crisply offers necessary information. Your nominee can either download the claim from the website’s claim section or walk to the nearest branch of the insurer.

The vast network of Max Life’s agents/advisors will not only help claimants understand the process but will also help them in filing the claim.

2. Claims Relationship Officer

Max Life appoints a personalised claims relationship officer for every claim. The objective of the claims relationship officer is to ensure timely settlement of the claim.

With Max Life Claims Relationship officer your nominee(s)can be comfortable & be rest assured for co-ordination of necessary claim documentation.

3. Insta Claim Settlement

Max Life Insurance has introduced a process called ‘Instaclaim’ where-by we endeavour to settle death claims within one day from the claim receipt, subject to the following conditions:

1. Claim amount on all eligible policies is less than 50 lakhs

2. Claims for policies completed three continuous years

3. All mandatory documents should be submitted before 3:00PM on a working day

4. Claims does not warrant any field verification

All these measures, are aimed at ensuring timely payment of claims and simplification of claims experience for our customers. These efforts also reflect in the year on year growth in Claims Paid percentage.

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