New India Assurance Leads with Minimal Claim Rejections

According to a recent study by the Insurance Brokers Association of India, New India Assurance boasts the lowest claims repudiation ratio of 0.2%. This public sector insurer, the only one listed, also maintains the lowest rejection ratios in health insurance and motor own-damage insurance.

The claims repudiation ratio, representing the proportion of rejected claims out of total claims closed, is a key indicator for customers. Other insurers with notably low ratios include HDFC Ergo (2.9%), Aditya Birla Health (3.9%), Future Generali (3.8%), and Shriram (4.6%).

In the motor own-damage segment, New India's ratio stands at 0.5%, while other top performers include Future Generali (1.1%), Oriental Insurance (3.3%), and Iffco Tokio (5.8%). Under health insurance, notable low rejection ratios are seen in Iffco Tokio (4.7%), Bajaj Allianz (5.9%), and Go Digit (7.9%).

However, some companies exhibit higher claims repudiation ratios, particularly in the health sector. Chola MS (15.3%), Tata AIG (19.1%), and Star Health (18.5%) are among those with higher rejection rates. In the motor segment, Chola MS (9.3%), Magma HDI (10.9%), Zuno (11.7%), Navi General (15.8%), Tata AIG (10.1%), Reliance General (10.3%), and ICICI Lombard (10.8%) also show relatively high repudiation ratios.

Public sector insurers, apart from New India, do not fare as well in claims rejection. National Insurance (8.3%), Oriental Insurance (9.9%), and United India (5.4%) have higher overall claims repudiation ratios. In health insurance, the ratios are 8.8% for National Insurance, 6.6% for Oriental Insurance, and 6.6% for United India. For motor own-damage claims, National Insurance has a ratio of 9.3%, Oriental Insurance of 3.4%, and United India of 6.6%.