In the Term Insurance category, the Insurance Price Index indicates an uptick in the first quarter of 2021. There is a surge of 4.4%, increasing an average price of term insurance premium to Rs 21,913 in the index value.
Out of total of 10 insurance companies, 4 insurance companies have escalated their premium prices in the last quarter whereas other companies have kept their annual premium prices intact in Quarter 1 2021. The biggest jump observed in premium prices is about 19.0%, which is followed by 18.7%, 5.5% and the minimum is 2.6%.
Following the trend, there are some indications that other insurance companies may also increase their Term Insurance premium prices in the near future.
The Term Insurance average price of Rs. 5 lac sum insured has gone up to Rs, 15,553 and Rs. 1 crore has reached to Rs. 27,150 in the last quarter.
For a detailed report on Term Insurance Price Index click here: https://www.policyx.com/term-insurance/price-index.php
The mentioned premium prices are average from 10 leading insurance companies for various age groups i.e, 25 years, 35 years, 45 years, and 55 years and both genders. It also considers the prices for both smokers and non-smokers.
Commenting on the report, Naval Goel, Founder & CEO, PolicyX.com says, “As per our discussion with most of the insurers, term plan prices are likely to go up further. Fortunately, not all companies have affected the price increase so far. Customers who want to purchase a term plan should not postpone their decision further as they might land up paying 20% higher. The increase is due to the fact the re-insurers have increased their rates.”
Contrary, despite some indications of an increase in health insurance premium prices due to the continuous spread of COVID19 virus, there has been no surge in the premium prices in Health Insurance in Quarter 1 2021.
The Insurance Price Index for the Health Insurance remains constant to Rs. 24,206 in Quarter 1, 2021, reflecting no change in the average price for a Rs 5 lac sum and a Rs 10 lac sum assured of Rs. 20,781 and Rs. 27,271, respectively.
The premium prices for Health Insurance are average prices taken from the leading 6 health insurance companies for all age groups i.e, 26 years, 36 years, 46 years, and 56 years & all coverage types i.e, 1 adult, 2 adults, 2 adults + 1 child, and 2 adults + 2 children.
For a detailed report on Health Insurance Price Index click here:
https://www.policyx.com/health-insurance/health-insurance-price-index.php
