Purchasing term insurance: Choose a policy that balances coverage and price
Last Update Date: 06-10-2026
Published by Business Standard
Abhishek Kumar's role: Quoted
Abhishek Kumar explained how the claim settlement ratio is calculated and suggested also checking the incurred claim ratio. He pointed out that after three years, Section 45 bars an insurer from rejecting a claim unless it proves deliberate fraud.
More of Abhishek's views on insurance
The article explains how to choose a term insurance policy, starting with the claim settlement ratio and what it does and does not show. It covers common reasons for claim rejection, the three-year limit under Section 45 of the Insurance Act, solvency, and mistakes such as buying too little cover.
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Purchasing term insurance: Choose a policy that balances coverage and price