Star Union Dai-ichi Life Insurance Co. Ltd. is a joint venture between the country’s two leading public sector banks – Bank of India (BOI) and Union Bank of India, and Japan’s renowned life Insurance company – Dai-ichi Mutual Life Insurance Company. With over 11,000 branches across the country, the insurance company is catering to more than 64 million customers. Star Union Claim Settlement Ratio, this year, is quite impressive, and need to work on this more eagerly.
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How Claim Settlement Ratio (CSR) is measured?
The Claim Settlement Ratio is expressed as the number of claims settled divided by the total number of claims reported in a given financial year, including the claims outstanding at the beginning of the financial year. The claim settlement ratio is expressed in percentage which is helpful for comparing the claim settlement data by the customer across insurers. The claim settlement ratio is calculated for every financial year.
| Claim Settlement Ratio = Total claims settled / Total claims received where Total Claims received = (Claims reported in the financial year + claims pending at the start of the year) |
Past 5 years CSR Trends for Star Union Life Insurance Co.
The consistency of the CSR year on year is an ideal way to give preference to the insurance company. Consistency to maintain a higher claim settlement ratio is considered to be good. Past claims settlement ratio trends will reveal the consistency and inclination of the Star Union Life Insurance Co. towards the settlement of death claims.
The last 5 year was not quite good but it seems like Star Union Life Insurance Co. has done the best job because keeping growing is a sign of success and the last two year CSR report is almost the same. So, yes Star Union Life Insurance Co trying to do better and here they are today.
| Financial Year | Claim Settlement Ratio (%) |
|---|---|
| 2015-16 | 80.73% |
| 2016-17 | 84.05% |
| 2017-18 | 92.26% |
| 2018-19 | 96.74% |
| 2019-20 | 96.96% |
Rank in Claim Settlement among other Life Insurers
It signifies the position where Star Union Life Insurance Co. lies, in respect to other life insurers in the industry from the financial year 2015-16 to 2019-20. This rank is based on the claim settlement percentage attained by Star Union Life Insurance Co. in the respective financial years.
CSR Details of Star Union Life Insurance Co. for the Financial Year 2019-20
IRDAI’s CSR report of FY 2019-20 has been released and the latest Claim Settlement Ratio for the Financial Year 2019-20 is 96.96%. CSR report of every year is for customer and IRDAI launch this report to make things clear from the point of view of the customer. We cannot do business by keeping the customer in the dark and that’s why IRDAI’s CSR report is valuable for customers and this report says it all about the performance of insurance companies.
| Life Insurer | Claims Rejection (FY 2019-20) | Claims Intimated (FY 2018-19) | Total Claims (Claims Pending + Claims Intimated) | CSR% (FY 2018-19) | CSR% (FY 2019-20) |
|---|---|---|---|---|---|
| Star Union Life | 2.80% | 1248 | NA | 96.76% | 96.96% |
- The claim settlement ratio of 96.96% is the indicator of the number of death claims settled by Star Union Life against the total claims 1248 reported for the FY 2019-20.
- Rs 44.2 Crores of amount has been paid as the claim amount against 1238 claims reported in the FY 2018-19 by Star Union Life Insurance Company.
- The claims have been rejected, resulting in a Claim Repudiation of 2.80% for FY 2019-20.