*All savings are provided by the insurer as per the IRDAI approved insurance plan. Standard T&C Apply
*Tax benefit is subject to changes in tax laws. Standard T&C Apply
Aditya Birla Nuvo Ltd. (ABNL), the Indian giant conglomerate is expected to dive into the health insurance business soon. The Birla Sun Life Insurance is a joint venture between Aditya Birla group and Sun Life Financial Incorporation, Canada. It is already running a successful venture in the life insurance sector and now it spreads its wings to cover health insurance too.
Talking about their plan on entering into the health insurance segment, ABNL has announced its goal while announcing their financial results for Q3 FY 15. In their presentation, ABNL announced;
“We are in the process of devising a lucid distribution grid with tolerable expenditure levels to improve market penetration and boost sales revenue. We believe that this grid will make it easier for us to launch our health insurance business.”
Currently, there are 26 health insurance companies operating in the country and the government has recently allowed to raise the foreign direct investment (FDI) limit in Insurance sector from 26 to 49 % which would attract many more off-shore vendors as well as the joint ventures to enter the Indian Insurance market. A 4.4% and 0.76% perforation ratio in life insurance sector and in non-life segment respectively.
Sadly, even with so many insurance vendors present, a vast majority of the Indian population remains without a single health insurance policy today.
(Source: This article has been adapted from the article "Aditya Birla Group plans to foray into health insurance business" that appeared on Feb 11, 2015 in economictimes.indiatimes.com.)