Mumbai: HDFC President Deepak Parekh Has said that India is now seeing early signs of sustainability economic revival,
“Higher growth in non-oil and non-gold imports reflects an uptick in domestic demand. Domestic economic activity is driven by increased private consumption and increased discretionary spending. Besides, rural consumption is expected to be supported by forecast of normal southwest monsoon this year,” said Parekh in his chairman’s speech. HDFC Life AGM.
However, Parekh cautioned that, “we need to be cautious of the effects from the present”. geopolitical tensionElevated commodity pricesslowing down external demand, supply disruption, capital outflowHigh inflation in emerging economies and a return to monetary accommodation in developed economies.”
HDFC Chairman in his speech also called life insurance companies allowed to sell health compensation Policies Currently, only non-life companies May sell health indemnity policies, including cashless mediclaim covers sold by general and health insurers. The regulator is currently taking decisions aimed at giving more relaxations in the health sector to life companies in the wake of the pandemic.
“We have requested the authority to accept the recommendations in the report of the Health Indemnity Committee, allowing life insurers to distribute health compensation plans. Another suggestion is to move towards a risk-based capital framework which will help in improving capital efficiency and facilitate better risk management for insurance companies,” Parekh said.
He added that the authority has already given a significant relaxation in the form of allowing ‘use and file’ for select products. “Such efficiencies for the industry are expected to push the growth agenda even more strongly,” he said.
Indemnity health insurance has also been the domain of non-life companies globally. However, many countries allow composite licenses. Allowing life companies to sell compensation products would increase competition in the largest non-life business category. Pre-pandemic, motor insurance dominated the general insurance business.
“Despite the pandemic, the Indian life insurance industry’s new business premium grew 16% in FY12. At HDFC Life, we achieved another strong year of business performance, maintaining our new business market share of 21% and 7.7% in the private and overall life insurance market respectively,” said Parekh.
During the year, HDFC Life paid security claims worth Rs 5,804 crore as against Rs 1037 crore in FY2011 due to the pandemic. “Despite this significant growth, our commitment to protect our policyholders remained steadfast and we settled between 99.6% and 98.7% of individual death claims overall,” Parekh said.
“Higher growth in non-oil and non-gold imports reflects an uptick in domestic demand. Domestic economic activity is driven by increased private consumption and increased discretionary spending. Besides, rural consumption is expected to be supported by forecast of normal southwest monsoon this year,” said Parekh in his chairman’s speech. HDFC Life AGM.
However, Parekh cautioned that, “we need to be cautious of the effects from the present”. geopolitical tensionElevated commodity pricesslowing down external demand, supply disruption, capital outflowHigh inflation in emerging economies and a return to monetary accommodation in developed economies.”
HDFC Chairman in his speech also called life insurance companies allowed to sell health compensation Policies Currently, only non-life companies May sell health indemnity policies, including cashless mediclaim covers sold by general and health insurers. The regulator is currently taking decisions aimed at giving more relaxations in the health sector to life companies in the wake of the pandemic.
“We have requested the authority to accept the recommendations in the report of the Health Indemnity Committee, allowing life insurers to distribute health compensation plans. Another suggestion is to move towards a risk-based capital framework which will help in improving capital efficiency and facilitate better risk management for insurance companies,” Parekh said.
He added that the authority has already given a significant relaxation in the form of allowing ‘use and file’ for select products. “Such efficiencies for the industry are expected to push the growth agenda even more strongly,” he said.
Indemnity health insurance has also been the domain of non-life companies globally. However, many countries allow composite licenses. Allowing life companies to sell compensation products would increase competition in the largest non-life business category. Pre-pandemic, motor insurance dominated the general insurance business.
“Despite the pandemic, the Indian life insurance industry’s new business premium grew 16% in FY12. At HDFC Life, we achieved another strong year of business performance, maintaining our new business market share of 21% and 7.7% in the private and overall life insurance market respectively,” said Parekh.
During the year, HDFC Life paid security claims worth Rs 5,804 crore as against Rs 1037 crore in FY2011 due to the pandemic. “Despite this significant growth, our commitment to protect our policyholders remained steadfast and we settled between 99.6% and 98.7% of individual death claims overall,” Parekh said.