Currently, all products in the health insurance segment only cover healthy individuals for any future medical expenses related to cancer.
Standalone health insurance company Star Health Insurance is looking to launch a product for cancer patients. Currently, all products in the health insurance segment only cover healthy individuals for any future medical expenses related to cancer.
Anand Roy, Executive Director and CMO of Star Health Insurance, said that the aim is to launch disease-specific products. “The existing products are targeted towards healthy individuals who will get insurance benefits if they contract cancer. We want to change that and cater to the neglected segment. Currently, we are working on the product pricing and it will be based on actuarial data,” he said.
Last year, Star Health Insurance collected gross written premium of Rs 2,962 crore and Roy said that they are targeting Rs 4,000 crore this year. Of this, 90 percent of the business is retail health insurance.
“This year too we are on track to achieve our targets and currently on an YTD (year-to-date) basis, we have done close to Rs 1,100 crore of premium and growing at 40 percent,” he explained.
Apart from cancer, autism is an area which the insurer is targeting the introduction of appropriate products. “We are looking to launch an insurance product for children suffering from autistic disorders. This will be launched once we get regulatory nod for the same,” he said.
The company is also looking to raise funds to support growth plans.
Roy said that Star Health Insurance is looking to raise around Rs 200 crore in the next couple of months to meet their growth plans and targets. Based on health inflation and rise in medical costs, the insurer has also increased the price of its family health optima plan by 10-15 percent.
The insurer had re-launched its Family Health Optima (FHO) plan with additional features including one that automatically increases the sum assured by 25 percent (maximum Rs 5 lakh) for helmet-wearing customers or safe riders.
In terms of distribution channels, they have about 1.5 lakh agents across the country to sell policies to individuals and families. Roy said that they also do a small amount of business through the online channel which contributes about 4-5 percent.Going forward, Roy said that they are looking at consolidating the existing branches and will open 20-25 branches this year.