General insurers' rejected more claims in 2010-11

The number of claims rejected by the general insurance industry has been increasing in 2010-11, according to the Insurance Regulatory Development Authority's (IRDA) annual report.

The net incurred claims of the 24 non-life insurers stood at 29,536 crore in 2010-1, against 22,274 crore in 2009-10. The incurred claims showed an increase of 32.60 per cent during 2010-11. While the public sector insurers reported growth at 30.95 per cent in the incurred claims, the same was higher for private insurers at 35.99 per cent However, overall the growth in incurred claims during 2010-11 at 32.60 per cent was significantly higher than 12.97 per cent recorded during the previous year.

Among the various segments, motor insurance and health insurance had high claims ratios, at 102.69 per cent and 100.08 per cent respectively.

SOURCE - thehindubusinessline.com