Insurance Round-up

A Punchy Headline

Bank of Baroda to divest up to 12.5% stake in Insurance arm India First

Bank of Baroda will divest up to a 12.5% stake in the insurance arm IndiaFirst Life Insurance Company through an offer for sale in the initial public offer (IPO) of the insurer or any other mode. However, the bank's shareholding in the life insurance subsidiary will not fall below 51%.

IRDAI tells insurers to cover mental illness

The insurance regulator has also said it is observed that many health insurance products that are marketed by insurers are not providing cover to newborns/infants with internal congenital birth defects from day one, thus going against the “true spirit” of the guidelines.

Insurance company can repudiate mediclaim if insured fails to disclose pre-existing illness: Karnataka High Court

The Karnataka High Court has said that a mediclaim policy is an insurance contract of utmost good faith, wherein divulging pre-existing illness is a duty of the insured, having not done so repudiation of the claim by insurance company cannot be found fault.

Read more at:

https://www.livelaw.in/news-updates/karnataka-high-court-mediclaim-policy-insurance-contract-of-utmost-good-faith-insurance-policy-212446

Head: Bajaj Allianz Life’s Solvency Ratio stands at 581% three times over the regulator norms

Bajaj Allianz Life Insurance Company on Tuesday announced its Solvency Ratio stood at 581% for FY22, as against the regulatory requirement of 150%. The company further stated that its Claim Settlement Ratio stood at 99.02% for the ongoing fiscal year. The number shared by the firm is amongst one of the highest in the industry.

Approval for 18 insurance companies in pipeline: IRDAI Chief

The IRDAI has also suggested the government to ease the minimum capital requirement of Rs 100 crore and permit the regulator to fix the amount depending upon business plans of the prospective company.