People work hard and plan for their future, but life is uncertain and unpredictable. An event like death near us is depressing and leaves the family in emotional and financial crisis. To plan our family security, the necessary thing is to cover yourself with life insurance.
Simply put, it pays a certain amount on the death of the policyholder or after a certain period. It should be a person for a more stable future of his family in his absence.
In India, 24 life insurance companies are managed, approved and recognized by IRDAI (Insurance Regulatory and Development Authority of India), a regulatory body in the insurance and reinsurance industry.
# 1. Max Life:
Max Life Insurance Company tops the list. The company came into existence in 2000 and is the largest non-bank private sector insurance company in India. It is a joint venture between Max Financial Services (Indian Company) and Mitsui Sumitomo Insurance Company (Japanese Insurance Company), under whose management the assets have exceeded Rs 50,000 crore.
The claim settlement ratio in the insurance industry is 99.2% highest which is 8,804 claims so far.
# 2. TATA AIA Life Insurance Company:
In second place is a joint venture between Tata AIG Life Insurance Company and AIA (American International Assurance) Hong Kong-based company. Tata has established itself as a reliable brand in the Indian market.
AIA is the largest independent insurance group in the world, surpassing 18 markets in the Asia Pacific. In 2019, Tata AIA assets under management is Rs 28,430 crore.
According to the latest data, the claim settlement ratio is 99.07%, of which 3659 claims have been settled.
# 3. HDFC Life:
The third place is occupied by HDFC Life Insurance Company. It is a joint venture between HDFC Limited, one of the largest financial institutions in India, and Standard Life Aberdeen (a global investment firm).
The company came into existence in 2000 and became one of the most famous insurance providers in the country.
The company’s claim settlement ratio is 99.04%, with 11,031 successful claims paid.
# 4. ICICI Prudential:
The fourth-place belongs to ICICI Prudential Life Insurance Company. The company came into existence in 2000 and has maintained its status as one of the most widely recognized insurance companies in the country.
The insurance company is a joint venture between ICICI Bank and Prudential Corporation Holdings Limited. ICICI Bank has a 74% stake and Prudential PLC has a 2% stake in the venture.
Its customer-centric approach and strong bancassurance and distribution channel have made it one of the best insurance companies in India.
The total assets of the company under management is Rs 1,604.10 crore and 11,546 claims have been settled supporting a claim settlement ratio of 98.58%.
# 5. Life Insurance Corporation of India:
LIC is in the fifth position. It is the largest insurance company in India and the only public company out of 24 life insurance companies in the Indian market.
It came into existence in 1956 and is one of the oldest insurance companies in India. The company’s main strength lies in the confidence among Indians due to its well-established presence for more than half a century.
Coverage of total assets of LIC. 3,11,1847 crore claim settlement ratio is 97.79%, where they have settled more than 25 crore claims so far.
# 6. Reliance Life Insurance Company:
Sixth, Reliance Life Insurance is a joint venture between Reliance Capital and Nippon Life (the largest Japanese insurance company). The company came into existence in 2001.
Reliance has a 51% stake, and Nippon 49%. Reliance Nippon’s assets under management are Rs. 20,281 crore
The claim settlement ratio of 97.71% with 15,211 claims filed by the company.
# 7 SBI Life Insurance Company:
State Bank of India Life Insurance is in the seventh position. It is a joint venture between State Bank of India, India’s largest bank, and BNP Paribas Cardiff (a French multinational bank and financial services company), a leading global insurance company, founded in 2000.
It is one of the best insurance companies in India with an authorized capital of Rs 29,000 crore. The claim settlement ratio of the company is 95.03%, 13,303 claims have been settled by the company.
# 8. Indian AXA Life Insurance Company:
In eighth place, Bharti XA Life Insurance is a joint venture between Bharti Enterprise and AXA Group (a French multinational insurance firm). The company came into existence in 2006.
Bharti owns 51% of the shareholding and AXA owns 49%. The company’s claim settlement ratio is 97.28%.
# 9. Aditya Birla Sun Life:
Aditya Birla Sun Life Insurance is in the ninth position. It is a joint venture between Aditya Birla Group and Sun Life Financial Inc.
Aditya Birla Sun was abbreviated as ABSLI and came into existence in 2000. The company’s claims settlement ratio is 97.15%, which means the company has paid 8,055 claims so far.
# 10 Exide Life Insurance Company:
In tenth place, Exide Life Insurance Company came into existence in 2001. The company is owned by Exide Industries Limited.
Exide Life distributes its products through multi-channels. Agency, Bancassurance, Corporate Agency and Broking, Live Channels and Online.
The company’s claim settlement ratio is 97.03%.
Apart from financial security, there are other benefits of a life insurance policy: –
The policies offer attractive tax benefits within 80C and help you save a significant amount that you would otherwise spend as tax.
Individuals who take out life insurance have the option of taking out a loan against the insurance policy without interfering with the benefits offered by the policy they have purchased.
Serves as the best possible tool for coverage of loans and mortgages obtained by the policyholder. Suppose there is an unforeseen situation due to which the policyholder is unable to repay his loan or mortgage. In that case, the bereaved family members will not have the burden of repaying the loan and the policy can be used to repay the loan or mortgage.
