CENTRAL UNIVERSITY OF

JAMMU
RAHYA SUCHANI, SAMBA DISTRICT, BAGLA,
JAMMU AND KASHMIR181143

DEPARTMENT :- Community College

NAME : Abimanyu Slathia
ROLL NO : 22bvob11
COURSE : B.VOC (BANKING AND FINANCIAL SERVICES)
SEMESTER :1st
PROJECT TOPIC : Star health insurance
 CONTENTS

• Acknowledgement
• Introduction to insurance
Characteristics of Insurance
Nature of Insurance
• Types of Insurance
Life Insurance
Fire Insurance
Marine Insurance
Social Insurance
Miscellaneous Insurance
• IRDA(Insurance Regulatory and Development
Authority of India)
• SWOT Analysis of Star Health
• Conclusion
• Bibliography
Acknowledgement
Declaration
 Introduction

Star Health and Allied Insurance Co Ltd is an Indian

multinational health insurance company headquartered
in Chennai.[2] The company provides services in health,
personal accident and overseas travel insurance,
directly as well as through various channels like agents,
brokers and online. Star Health is also prominently into
bancassurance having long standing relationship
with various banks.

➔ Characteristics of Insurance

1). Star Wellness Program:

This program intends to promote, incentivize and reward

the insured person’s healthy lifestyle through various
wellness activities. The wellness activities are designed
to help the insured person to earn wellness reward
points which will be tracked and monitored by the
insurance company. These wellness points can be
utilized by the insured to claim discounts on the renewal
premium. The following table shows the discount on
premium available under the wellness program:

2). Star Health In-House Claim Settlement:

Star Health & Allied insurance company has no Third-

party administrators to settle the claim. All the
reimbursement and cashless claims are settled through
the in-house claim settlement team of Star insurance
company. This is an advantage to the customer as the
in-house claim settlement would be available round the
clock. The customer’s reimbursement claim would also
be settled within a few days as there would be no
involvement of a third party in the claim settlement
process. The in-house claim settlement process was
proved to reduce the claim settlement time and has also
improved customer satisfaction.

3).Faster & Hassle-free claim settlement:

The main purpose of taking a health insurance policy is

to avail cashless/ reimbursement facility at the time of
hospitalization and to reduce the chance of going
bankrupt due to the hospitalization expenses which may
involve in disposing of the assets such as Gold or other
properties. If the claim settlement is not faster and
hassle-free the insured customer would suffer a lot and
the use of insurance policy would be limited. Star Health
Insurance Company provides faster claim settlement
service to their customers, in case of cashless claim
settlement 90% of the claims are settled within 2 hours,
and in case of reimbursement claim settlement would be
done within 7 days from the receipt of all the required
documents.

4). Cashless facility:

Star Health Insurance Company has tied up with more

than 10, 000 hospitals and diagnostic centers to provide
cashless claim settlement service to its customers. The
cashless claim settlement facility can be availed by the
customers in any of the network hospitals or tie-up
hospitals pan India. Most customers prefer to avail of
cashless service at the time of hospitalization due to the
comfort it offers to the customers. Almost 90% of the
cashless claims are approved and settled within 2 hours
of notifying the insurance company. All the major
hospitals in India are tied up with Star Health and Allied
insurance company.

5). Automatic Restoration of Sum Insured:

Automatic restoration of the sum insured is the

restoration of the sum insured upon complete
exhaustion during the policy period. The sum insured
would be restored up to 3 times during the policy period
without any extra premium to be paid. The sum insured
restored under the policy can be used only for the new
illness or a new family member for the same illness. It is
to be noted that the restoration happens only after the
complete exhaustion of the sum insured
available in the policy.

➔ Nature of Insurance

Health Insurance is a shield that protects you and your

family from financial instability during health
emergencies. Against the common misconception that
Medical Insurance is only for the elderly or people with
health risks, its necessity is indispensable for everyone.
A Health Insurance plan offers peace of mind in times of
hospitalisation by taking care of your medical bills.
Uncertainties like COVID-19 have taught us the
necessity of Medical Insurance. On the other hand, with
the continuous spike in medical inflation, a Health
Insurance plan can save your day either by providing
cashless treatments or reimbursements on the incurred
medical expenses. The flexibility of our Health Insurance
is as such it can be availed either on an Individual or
Floater basis to get wide coverage.

➔ Types of Insurance

-> Life Insurance

-> Fire Insurance
-> Marine Insurance
->Social Insurance
-> Miscellaneous Insurance

1). Life insurance is a contract that offers financial

compensation in case of death or disability. Some life
insurance policies even offer financial compensation
after retirement or a certain period of time. Life
insurance, thus, helps you secure your family’s financial
security even in your absence. You either make a lump-
sum payment while purchasing a life insurance policy or
make periodic payments to the insurer. These are
known as premiums. In exchange, your insurer promises
to pay an assured sum to your family in the event of
death, disability or at a set time.

Life insurance can help you support your family even

after retirement.
2). Fire Insurance :

Fire insurance policies are different types of insurance

coverages that compensate any losses incurred due to a
fire breakout with a sum assured. These types of
insurance policy usually provide a significant amount of
coverage to help both individuals and companies to
reopen their places after incurring extensive damage
due to fire. These insurance types cover war risk,
turmoil, riots losses as well.
Different types of fire insurance in India are –
1) Valued policy
2) Specific Policy
3) Floating Policy
4) Consequential Policy
5) Replacement Policy
6) Comprehensive Fire insurance policy.

3). Marine insurance refers to a contract of indemnity. It

is an assurance that the goods dispatched from the
country of origin to the land of destination are insured.
Marine insurance covers the loss/damage of ships,
cargo, terminals, and includes any other means of
transport by which goods are transferred, acquired, or
held between the points of origin and the final
destination.

The term originated when parties began to ship goods

via sea. Despite what the name implies, marine
insurance applies to all modes of transportation of
goods. For instance, when goods are shipped by air, the
insurance is known as the contract of marine
Cargo insurance.

4). Social insurance is a form of social welfare that

provides insurance against economic risks. The
insurance may be provided publicly or through the
subsidizing of private insurance. In contrast to other
forms of social assistance, individuals' claims are partly
dependent on their contributions, which can be
considered insurance premiums to create a common
fund out of which the individuals are then paid
benefits in the future.

5). A miscellaneous insurance policy is a contract of

insurance other than those of life, fire, and marine. It
covers a variety of risks: loss due to staff betrayal, loss
of money during transit, forgery, disruption, theft, and
computer-related crimes.

➔ IRDA:- The Insurance Regulatory and

Development Authority of India (IRDAI) is a
statutory body under the jurisdiction of
Ministry of Finance , Government of India and
is tasked with regulating and licensing the
insurance and re-insurance industries in
India.[1] It was constituted by the Insurance
Regulatory and Development Authority Act,
1999,[2] an Act of Parliament passed by the
Government of India.[3] The agency's
 headquarters are in Hyderabad, Telangana,
where it moved from Delhi in 2001.IRDAI is a
10-member body including the chairman, five
full-time and four part-time members
appointed by the government of India.

➔ SWOT Analysis of Star Health :

Swot analysis of star health.

1.Strengths

The company is the biggest private insurance player in

the country and is the foremost player in the important
retail health insurance space
Star Health’s network has a well-spread distribution
network that allows it to tap into the growing retail health
insurance market pan-India.
The company offers a strong and diverse portfolio of
products, which extends its lead against its peers.

2.Opportunities.

Star Health is perfectly poised to take advantage of the

growing insurance market in India. Health insurance
penetration in India stood at 0.36 percent of GDP in
2019, against the global average of 2 percent of GDP
globally. The COVID-19 pandemic has Indians more
willing to invest in health insurance, leading to better
opportunities for growth.
The company continues to adapt quickly to the post-
COVID-19 pandemic environment while also focusing on
SME sales for retail health insurance.

3.Weakness.

The company has reported losses for the past 18

months, with a loss of Rs 825.58 crore in FY21 and of
Rs 380.27 crore in FY22 until September 31.
Based on negative earnings and past losses, the issue
price appears to be aggressively valued and may cause
a repeat of the One97 IPO debacle.

4.Threats.

The renewed risk from COVID-19 variant Omicron may

be a potential threat as increased claims eat into income
for one more financial cycle
Unfavourable government policies and regulations may
further hamper efforts to improve profitability amidst a
post-pandemic environment
With only 10 percent of the issue being reserved for
retail investors, it is highly likely that most investors will
not be allotted a lot in the IPO. Axis Capital has
recommended investors to subscribe to the issue, with
Angel One recommending the same.

➔ CONCLUSION :-

The profit of health Insurance companies depends on

the amount of premium income received [4]. There are
four key metrics to measure the performance of health
insurance sector such as gross premium income,
incurred claim ratio, number of policies and claim paid.

Bibliography: -

Type
Public
Traded as
NSE: STARHEALTH
BSE: 543412
ISIN
INE575P01011
Industry
Financial services
Founded
2006; 17 years ago
Headquarters
Chennai, Tamil Nadu, India
Number of locations
640+ (2021)
Key people
V Jagannathan,
Dr. S. Prakash,
Anand Roy
Products
Health insurance
Travel insurance
Accidental insurance
Revenue
₹10,610 crore (US$1.3 billion) (2022)[1]
Operating income
₹−1,348 crore (US$−170 million) (2022)[1]

Net income
₹−1,040 crore (US$−130 million) (2022)[1]
Total assets
₹13,513 crore (US$1.7 billion) (2022)[1]
Total equity
₹3,963 crore (US$500 million) (2022)[1]
Number of employees
14,273 (2021)[1]
Website
www.starhealth.in

Submitted by:- Abimanyu Slathia

THANK YOU