Rising claim size worries insurers

Mumbai: Claim size of mediclaim policies has been growing every year, according to data of past three years compiled by private general insurer ICICI Lombard. “Claim size shows a year-on-year increase for most diseases. Eighteen per cent claims received for critical illness in 2013 exceeded Rs 2 lakh,” said ICICI Lombard vice president (health underwriting and claims) Amit Bhandari.

End-stage liver failure with an average claim size in 2013 at Rs 3,90,661 clocked the highest compound annual general growth rate (CAGR) at 98.4 per cent for the past three years. Paralysis with an average claim size of Rs 1,41,682 and CAGR of 28.4 per cent was the second highest, he said. Other diseases with high average claim size during the year included heart valve replacement (Rs 3,44,560), stroke (Rs 1,71,273), myocardial infarction (Rs 2,44,620), end-stage renal failure (Rs 38,491) and major organ failure (Rs 1,10,725), the insurer said. Out of the 27 general insurance companies, only 22 offer health products. “12 per cent corporate claims received for critical illness in 2013 was over Rs 2 lakh,” he said, adding, here too the claim size shows Y-o-Y increase for most diseases.