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Best Insurance Company In Claim Settlement

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Claim Settlement ratio is one of the most important parameter to be taken care of  while deciding the best Insurance company for your new policy. A general idea on how much claim the company is settling every year can give you a fair picture about how much difficulty you and your family may face to settle the claim in case of an unfortunate event in the future. The latest Annual report of Insurance Regulatory and Development Authority of India gives complete information on the claim settlement related facts about insurance companies of India.

Best Insurance Company (Life) in Individual  Death Claim Settlement 2014-15

The info graphics shown here can give your a fair idea on the how much death claim is settled by each insurance company in India.

Life Insurance Corporation of India tops the chart with an excellent death claim settlement ratio of  98.19% . A total benefit amount of Rs. 9055.18 Crores from 742243 policies was settled by LIC.

Max Life follows the chart with 96.03% of claim settlement. Rs.245.46 crores of claim was settled by Max Life from 8786 policies.

Complete Details Of The Claim Settlement Ratio of All Companies In India 2014-15

RankingInsurance CompanyClaim recieived
(No of Policies)
Claims Received
(Benefit Amount
in Crores)
Claims Paid
(No of Policies)
Claim Settlement
(% of Policies)
Claim Paid
(Benefit Amount)
Claim Settlement
(% of Benefit Amount)
1LIC Of India7559019480.4974224398.19%905595.51%
2Max Life9149262.27878696.03%245.4693.59%
Birla Sunlife8453319.28805695.30%278.0887.10%
4TATA AIA387398.58365994.47%88.2789.54%
5Star Union126637.12119194.08%33.9891.54%
6ICICI Prudential12309443.50
7PNB Met Life2466119.03229092.86%102.0085.69%
8Bajaj Alliance20661429.541897891.85%347.8580.98%
9Kotak Life268687.85243790.73%72.1782.15%
10HDFC Standard12189402.301103190.50%90.50%263.52
11Sahara Life7787.170089.97%6.38%89.86%
12Aegon Religare46035.7641389.78%30.7385.93%
13Canara HSBC57636.1151689.58%28.8179.78%
14SBI Life14876364.77
15Exide Life343289.44295586.10%60.1467.24%
16Reliance Life18142311.371521183.84%229.3773.66%
17Future Generali216045.15180883.70%30.9468.53%
19Bharathi AXA111049.5789880.90%35.1670.93%
20IDBI Federal97144.4273675.80%31.4970.89
21India First165549.35119572.21%29.8260.43%
22Shriram Life196061.49128765.66%31.4951.21%
23DFL Pramerica95330.6254557.19%14.9448.79%
24Edelweiss Tokyo11913.476857.14%7.2453.75%

Comparison of Claim Settlement of LIC with Private Insurance Companies

Life Insurance Corporation of India is settling 98.19 % of death claim where as average claim settlement ratio of Private companies is just 89.40 %.

Time Taken By Insurance Companies to Settle Claim.

Now let us have a look at the time taken by insurance companies to settle the claim amount. Here even though more claims are settled by Life Insurance Corporation of India, the time taken to settle claims is considerably high compared to the private companies.


The largest insurance company and the only public sector company in India, Life Insurance Corporation of India (LIC) is well ahead of private companies in terms of Claim settlement ratio. The private companies settle claims faster but I feel that settling more number of claims is important than the speed at which claim is settled.

Source: IRDA Annual report

Anish L J

Anish L J is a 'Financial Planner' and member of Chartered Insurance Institute(CII), London and Insurance Institute of India. He is also a finance, insurance and software consultant. He thoroughly follows the developments in finance, insurance, and other related sectors.