Following is the list of best life insurance companies in India:
Life Insurance Company | Claim Settlement Ratio 2020-21 |
Max Life Insurance | 99.35% |
Aegon Life Insurance | 99.25% |
Bharti Axa Life Insurance | 99.05% |
Life Insurance Corporation of India (LIC) | 98.62% |
Dhfl Pramerica Life Insurance | 98.61% |
Exide Life Insurance | 98.54% |
Kotak Life Insurance | 98.50% |
Reliance Life Insurance | 98.49% |
Bajaj Allianz Life Insurance | 98.48% |
PNB MetLife Insurance | 98.17% |
Tata AIA Life Insurance | 98.02% |
HDFC Life Insurance | 98.01% |
Aviva India Life Insurance | 98.01% |
ICICI Prudential Life Insurance | 97.90% |
Aditya Birla Sun Life Insurance | 98.04% |
Sahara India Life Insurance | 97.18% |
Canara HSBC Life Insurance | 97.10% |
Edelweiss Tokio Life Insurance | 97.01% |
IndiaFirst Life Insurance | 96.81% |
Daiichi Life Insurance | 95.96% |
Shriram Life Insurance | 95.12% |
Ageas Federal Life Insurance | 95.07% |
Future Generali Life Insurance | 94.86% |
SBI Life Insurance | 93.09% |
(Source: IRDAI Annual Report - Claim Settlement Ratio for the year 2020-21)
Top 7 Life Insurance Companies in India
Following is the list of top 7 life insurance companies in India:
1. Max Life Insurance Company
Max Life Insurance Company is amongst the top life insurance companies in India and it was founded in the year 2000. The aim of this life insurance company is majorly to offer adequate financial strength to its policyholders and for this reason, the insurance provider offers various types of life insurance policies including child insurance, long-term savings, protection, investment, and various other group solutions, etc. All of these insurance plans offered by Max Life are full of benefits and various essential features according to the needs of the individual.
2. HDFC Life Insurance Company
HDFC Life Insurance Company is a collaboration between Standard Life Aberdeen PLC and Housing Development Finance Corporation Limited. It began its operations in the year 2000 and has its headquarters located in Mumbai, Maharashtra. This company offers various types of life insurance plans to its customers such as protection plans, pension plans, women plans, child plans, health plans, etc. This life insurance company provides several insurance policies especially created for children and women. A policyholder can include additional riders to the plans in order to enhance the coverage. Moreover, the HDFC Life insurance company guarantees settlement of claims in a single day, taking into regards various terms and conditions so as to make the entire claim settlement process easier for the deprived.
3. Tata AIA Life Insurance Company
This life insurance company came into existence as a joint venture between AIA Group Ltd and Tata Sons Pvt Ltd. It is another popular life insurance company and was started in the year 2001. Tata AIA follows an entirely customer centric approach, and offers various life insurance plans to its policyholders in order to meet their future needs. Some of the main insurance products offered by them include wealth plans, savings plans, protection plans, etc.
4. Pramerica Life Insurance
Pramerica Life insurance company is formed as a result of joint efforts between the Prudential International Insurance Holdings Limited and Dewan Housing Finance Corporation Limited. They started with their operations in the life insurance segment in 2013. The insurance company has around 138 offices located all across the nation. It provides several life insurance products for both groups as well as individuals. All of these insurance products are designed specifically to cater to the needs of the policyholders like retirement planning, protecting the future of the children, wealth creation and savings.
5. Exide Life Insurance Company
This life insurance company follows a completely customer-centric approach and they are currently offering their services to over 15 Lakh consumers all over the nation. They have their headquarters in Bengaluru and have more than 200 offices over the nation and are offered support by more than 45,000 advisors. Exide life insurance makes use of various network channels to distribute their various products like agency, bancassurance, corporate agency, agency, broking and direct channels. The wide variety of insurance policies offered by them is categorized into savings, investment, protection, retirement plans, among others.
6. Reliance Life Insurance Company
Reliance Nippon life insurance company was formed as a result of collaboration between Reliance Capital and Nippon Life. It began with its operations in 2001 and is known to be one of the popular life insurance companies amongst the insurance policy buyers. They have been known to offer insurance plans to over 10 million customers. As a matter of fact, at present, it is said to be one of the largest non-bank supported life insurance companies amongst the private insurance companies. The insurance company mainly deals with 5 different insurance segments i.e. retirement, protection, child, health, investment and saving for both individuals as well as corporate or group entities.
7. Canara HSBC Life Insurance Company
This insurance company came into formation as a joint venture amongst 3 financial entities i.e. Punjab National Bank, Canara Bank, and HSBC Insurance Holdings Limited. They provide a wide variety of insurance plans to their customers that are customized as per their individual needs and also have a huge network all over India. The range of insurance products offered by them includes savings plan, health insurance plans, term insurance plans, child insurance plans amongst others.
How To Choose The Correct Life Insurance Company In India?
It is important to pick an insurance plan that fulfills an individual’s insurance requirements as well as fits in the budget. However, one should not be influenced by low premiums while buying the insurance plan he/she should thoroughly research the insurance company and must identify their insurance requirements before buying a life insurance plan.
There are a lot of life insurance companies to opt for here are some factors you should consider before choosing a particular insurance company:
1. Claim Settlement Ratio: The Claim Settlement Ratio or CSR of an insurance company depicts its effectiveness and reliability. The claim settlement ratio of an insurance company represents the number of claims settled in the financial year against the total number of claims. This ratio helps in finding out the activeness of an insurance company in terms of claim settlement. The high claim settlement ratio of the insurance company depicts the dedication of the insurance company in terms of claim settlement. This represents the loyalty of the insurance company towards its customers. An insurance company’s claim settlement ratio is reviewed by the Insurance Regulatory and Development Authority (IRDA).
2. Customer Care Service: Customer Care Service is an important factor to be considered while purchasing an insurance plan. A person should always choose an insurance company that provides good quality customer care service. While purchasing a life insurance policy, a customer should always keep in mind that there is the availability of 24x7 customer care service to resolve all of their queries and provide assistance when needed.
3. Availability of Riders: Life Insurance Riders are additional benefits that an insurance company offers at the time of purchasing the life insurance plans. They are purchased with the plan increasing the premium and they enhance the life cover as well. A person should always ensure the insurance company offers riders or offer an option to add riders to the insurance policy. Some of the common riders offered by the insurance companies are Critical Illness Rider, Accidental Death Benefit Rider, Accidental Total or Permanent Disability Rider, and Waiver of Premium Rider. With these optional additional riders being offered a person can make better decisions by choosing the best plan and rider offered with it.
4. Persistency Ratio of the Company: The persistency ratio of the company depicts the number of policyholders who have renewed their life insurance policy with the same insurance company. It is the ratio of the total number of policyholders to the number of policyholders who renewed their policies. The persistency ratio of the company represents the satisfaction of the consumers with the insurance provider. An insurance company’s persistency ratio is kept under observation by the Insurance Regulatory and Development Authority (IRDA).
5. Feedbacks and Reviews: Generally an applicant does not pay attention to the feedback and reviews that an insurance company receives from the consumers. One should always go through the feedback/reviews of the company and look out for the complaints/bad reviews. This should give the applicant an idea of which insurance company is better than others and if the insurance company should be opted for or not.
