A REPORT ON INTERNSHIP TRAINING AT

STAR HEALTH AND ALLIED INSURANCE CO. LTD,

VELACHERY BRANCH, CHENNAI

submitted in partial fulfillment of the requirements

for the award of the degree of

BACHELOR OF COMMERCE

by

EMISHA. B. S

(Register No.: 1701721036109)

DEPARTMENT OF COMMERCE (SHIFT – II)

MADRAS CHRISTIAN COLLEGE (AUTONOMOUS)

TAMBARAM, CHENNAI – 600 059

APRIL 2020

1
 DECLARATION

I hereby declare that the internship report entitled “A REPORT ON INTERNSHIP

TRAINING AT STAR HEALTH AND ALLIED INSURANCE CO. LTD,
VELACHERY BRANCH, CHENNAI” is an original work done by me in partial
fulfillment of the requirements for the award of the degree of Bachelor of Commerce under
the guidance of Mrs. Shiny Isaac, Department of Commerce (shift – II), Madras Christian
College, Tambaram, Chennai-600059, and the same has not been submitted elsewhere for the
award of any degree.

Place: Chennai

Date:

(Emisha.B.S)

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 CERTIFICATE

This is to certify that the internship report entitled “A REPORT ON INTERNSHIP

TRAINING AT STAR HEALTH AND ALLIED INSURANCE CO. LTD,
VELACHERY BRANCH, CHENNAI” is a record of personal work done by
Ms. Emisha.B.S, a student of Bachelor of Commerce (Shift – II), Madras Christian College,
Chennai – 600059, during the period of her study in the academic year 2019 – 2020. The
internship report represents entirely an independent work of the candidate under my
supervision and guidance.

Place: Chennai

Date: SIGNATURE OF INTERNSHIP ADVISOR

Place: Chennai

Date: SIGNATURE OF EXTERNAL EXAMINER

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 ACKNOWLEDGEMENT

I first and foremost wish to express my profound thanks to our honourable Principal
DR .P. WILSON for providing me with an opportunity to study in this distinguished
institute.

I extend my thanks to our most respected Director (Self-financed stream)

DR. ROOP SINGH for this constant support and encouragement.

I then wish to extend my sincere thanks to the respectable head of the Department
DR.NIRMALA MOHAN as her constant encouragement proved as a source of unparalleled
inspiration.

I express deep gratitude to my internship advisor MRS. SHINY ISAAC for the proper
guidance and constant support to carry out this internship report. Her guidance helped me to
overcome all the hurdles. Without her support and help this work could not have been
completed.

Above all I thank God, the almighty for showering upon me his grace and blessings.

(EMISHA.B.S)

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 TABLE OF CONTENTS

SL.NO. CONTENTS PAGE NO.

1 CHAPTER – I 1
History of Insurance

2 CHAPTER – II 25
Star health Insurance Company

3 CHAPTER – III 57
Star Health Insurance Company, Velachery Branch

4 CHAPTER – IV 61
Learning Experience

5 CHAPTER – V 64
Consolidation of Report

6 CHAPTER – VI 92
Conclusion

7 Bibliography X

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6
 CHAPTER I

HISTORY OF INSURANCE

1
INTRODUCTION

In the words of Riegel and Miller, “Insurance is a social device whereby uncertain risks of
individuals may be combined in a group and thus made more certain; small periodic
contributions by the individuals providing a fund out of which those who suffer losses may
be reimbursed.” Insurance is a form of contract or agreement under which one part agrees in
return for a consideration to pay an agreed amount of money to another party to make good
for a loss, damage, or injury to something of value in which the insured has a pecuniary
interest as a result of some uncertain event.

Insurance is a cooperative device to spread across large number of people a possible

financial loss too serious to be borne by an individual. In its legal aspects it is a contract, the
insurer agreeing to make good a loss the insured may suffer within the scope of contract,
and the insured agreeing to pay a consideration.

HISTORY OF INSURANCE

The history of insurance traces the development of the modern business of insurance
against risks, especially regarding cargo, property, death, automobile accidents, and
medical treatment.

The insurance industry helps to eliminate risks (as when fire-insurance providers demand
the implementation of safe practices and the installation of hydrants), spreads risks from
individuals to the larger community, and provides an important source of longterm finance
for both the public and private sectors.

In Ancient Era

Insurance in some form dates back to prehistory. Initially, people sold goods in their own
villages or gathering places. However, with the passage of time, they turned to nearby
villages to sell. Two types of economies existed in human societies: natural or nonmonetary
economies (using barter and trade with no centralized nor standardized set of financial

2
instruments) and monetary economies (with markets, currency, financial instruments and so
on). Insurance in the former case entails agreements of mutual aid. If one family's house
gets destroyed, the neighbors are committed to helping rebuild it. Public granaries embodied
another early form of insurance to indemnify against famines.

The first methods of transferring or distributing risk in a monetary economy were practiced
by Chinese and Babylonian traders in the 3rd and 2nd millennia BC, respectively. Chinese
merchants traveling treacherous river rapids would redistribute their wares across many
vessels to limit the loss due to any single vessel's capsizing. The Babylonians developed a
system that was recorded in the famous Code of Hammurabi, c. 1750 BC, and practiced by
early Mediterranean sailing merchants. If a merchant received a loan to fund his shipment,
he would pay the lender an additional sum in exchange for the lender's guarantee to cancel
the loan should the shipment be stolen or lost at sea. England in the mid-18th century
Merchants and ship owners very largely insured their own ventures themselves, but the need
for discounting facilities arose after 1750 with the growing volume of bills drawn against
West Indian merchants. Thus some of the more important Liverpool merchants began to
exercise the functions of banking

Achaemenian monarchs in Ancient Persia were presented with annual gifts from the various
ethnic groups under their control. This would function as an early form of political
insurance, and officially bound the Persian monarch to protect the group from harm.

At some point in the 1st millennium BC, the inhabitants of Rhodes created the 'general
average'. This allowed groups of merchants to pay to insure their goods being shipped
together. The collected premiums would be used to reimburse any merchant whose goods
were jettisoned during transport, whether due to storm or sinkage.

The ancient Athenian "maritime loan" advanced money for voyages with repayment being
canceled if the ship was lost. In the 4th century BC, rates for the loans differed according to
safe or dangerous times of year, implying an intuitive pricing of risk with an effect similar
to insurance.

3
The Greeks and Romans created in c. 600 BC created guilds called "benevolent societies",
which cared for the families of deceased members, as well as paying funeral expenses of
members. Guilds in the middle ages served a similar purpose.

The Jewish Talmud also deals with several aspects of insuring goods. Before insurance was
established in the late 17th century, "friendly societies" existed in England, in which people
donated amounts of money to a general sum that could be used for emergencies.

In Medieval Era

Sea loans or foenus nauticum were common before the traditional marine insurance in the
medieval times, in which an investor lent his money to a traveling merchant, and the
merchant would be liable to pay it back if the ship returned safely. In this way, credit and
sea insurance were provided at the same time. The rate of interest for sea loans was high to
compensate for the high risks involved. Merchants taking sea loans had to pay the high
interest charges to the lenders for having borne the sea risk as opposed to sharing the profits,
which is how things were done when merchants carried goods by land.

The traders sent (export) their goods to the agents who on the behalf of traders sold them.
Sending goods to the agents by road or sea involves different risks i.e. sea storms, pirate
attack; goods may be damaged due to poor handling while loading and unloading, etc.
Traders exploited different measures to hedge the risk involved in the exporting. Instead of
sending all the goods on one ship/truck, they used to send their goods over number of
vessels to avoid the total loss of shipment if the vessel was caught in a sea storm, fire,
pirate, or came under enemy attacks but this was not good practice due to prolonged time
and efforts involved. Insurance is the oldest method of transferring risk, which was
developed to mitigate trade/business risk. Marine insurance is very important for
international trade and makes large commercial trade possible. The risk hedging instruments
our ancestors used to mitigate risk in medieval times were sea/marine (Mutuum) loans,
commenda contract, and bill of exchanges. Professor Federigo found that the first written
insurance contracts date back to February 13, 1343, in Pisa. Furthermore, Italian traders
spread the knowledge and use of insurance into Europe and The Mediterranean. In the
fifteenth century, word policy for insurance contract became standardized. By the sixteenth
century, insurance was common among Britain, France, and the Netherlands. The concept
4
of insuring outside native countries emerged in the seventeenth century due to reduced trade
or higher cost of local insurance. According to Kingston (2011), Lloyd's Coffeehouse was
the prominent marine insurance marketplace in London during the eighteenth century and
European/American traders used this marketplace to insure their shipments. The rules and
regulations of insurance were adopted from Italian merchants known as “Law Merchant”
and initially these rules governed the marine insurance across the globe. In case of dispute,
policy writer and holder choose one arbitrator each and these two arbitrators choose a third
impartial arbitrator and parties were bound to accept the decision made by the majority.
Because of the inability of this informal court (arbitrator) to enforce their decisions, in the
sixteenth century, traders turned to formal courts to resolve their disputes. Special courts
were set up to solve the disputes of marine insurance like in Genoa, insurance regulation
passed to impose fine, on who did not obey the Church's prohibitions of usury (Sea loans,
Commenda) in 1369. In 1435, Barcelona ordinance issued, making it mandatory for traders
to turn to formal courts in case of insurance disputes. In Venice, “Consoli dei Mercanti”,
specialized court to deal with marine insurance were set up in 1436. In 1520, the mercantile
court of Genoa was replaced by more specialized court “Rota” which not only followed the
merchant's customs but also incorporated the legal laws in it.

In Modern Era

Insurance became far more sophisticated in Enlightenment era Europe, and specialized
varieties developed.

Property insurance as we know it today can be traced to the Great Fire of London, which in
1666 devoured more than 13,000 houses. The devastating effects of the fire converted the
development of insurance "from a matter of convenience into one of urgency, a change of
opinion reflected in Sir Christopher Wren's inclusion of a site for 'the Insurance Office' in
his new plan for London in 1667." A number of attempted fire insurance schemes came to
nothing, but in 1681, economist Nicholas Barbon and eleven associates established the first
fire insurance company, the "Insurance Office for Houses", at the back of the Royal
Exchange to insure brick and frame homes. Initially, 5,000 homes were insured by his
Insurance Office.

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At the same time, the first insurance schemes for the underwriting of business ventures
became available. By the end of the seventeenth century, London's growing importance as a
center for trade was increasing demand for marine insurance. In the late 1680s, Edward
Lloyd opened a coffee house, which became the meeting place for parties in the shipping
industry wishing to insure cargoes and ships, and those willing to underwrite such ventures.
These informal beginnings led to the establishment of the insurance market Lloyd's of
London and several related shipping and insurance businesses.

The first life insurance policies were taken out in the early 18th century. The first company
to offer life insurance was the Amicable Society for a Perpetual Assurance Office, founded
in London in 1706 by William Talbot and Sir Thomas Allen. Edward Rowe Mores
established the Society for Equitable Assurances on Lives and Survivorship in 1762.

It was the world's first mutual insurer and it pioneered age based premiums based on
mortality rate laying "the framework for scientific insurance practice and development" and
"the basis of modern life assurance upon which all life assurance schemes were
subsequently based." In the late 19th century "accident insurance" began to become
available. The first company to offer accident insurance was the Railway Passengers
Assurance Company, formed in 1848 in England to insure against the rising number of
fatalities on the nascent railway system.

By the late 19th century governments began to initiate national insurance programs against
sickness and old age. Germany built on a tradition of welfare programs in Prussia and
Saxony that began as early as in the 1840s. In the 1880s Chancellor Otto von Bismarck
introduced old age pensions, accident insurance and medical care that formed the basis for
Germany's welfare state. In Britain more extensive legislation was introduced by the Liberal
government in the 1911 National Insurance Act. This gave the British working classes the
first contributory system of insurance against illness and unemployment. This system was
greatly expanded after the Second World War under the influence of the Beveridge Report,
to form the first modern welfare state

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PRINCIPLES OF INSURANCE

Insurance policies are contracts that provide people with financial security and protection
from future uncertainty. In order for the relationship between the insurer and the insured to
work, however, there are certain important principles that must be upheld.

Indemnity

The principle of indemnity ensures that an insurance contract protects the insured from and
compensates the insured for any damage, loss, or injury. The purpose of an insurance
contract is to make the insured "whole" in the event of a loss, not to allow the insured to
make a profit. Thus, the amount of the insured’s compensation for a loss is directly related
to the amount of loss that the insured actually suffered.

Contribution

Contribution is a similar principle to indemnity, and it applies to situations where the

insured have more than one insurance policy for the same asset or entity. For example,
imagine that the insured own a truck that is insured by both Company A and Company B.
If another driver hits the insured’s truck and it will cost the insured $5,000 to fix it, the
insured can submit the insured’s claim to Company A, Company B, or to both companies. If
Company A compensates the insured fully, then it can claim a proportionate contribution
from Company B. However, if both companies compensate the insured fully, the insured
can't keep the full amount and turn a profit, because this would amount to an unfair
windfall.

Insurable Interest

The insurable interest principle requires that the owner of a particular insurance policy have
an ownership interest in the particular subject matter of the insurance policy. For example,
the owner of a hot dog cart has an insurable interest in the cart because he owns it and is
earning money from it.

7
However, if he sells the hot dog cart, this means he will no longer have an insurable interest
in it. Creditors also have an insurable interest in debt. The absence of an insurable interest
can make the insurance policy in question null and void.

Subrogation

Subrogation means that one party stands in for another. In the insurance context,
subrogation will arise if the insured are injured by a negligent third party, and the insured’s
insurance company reimburses the insured for the insured’s damages. Under the principle of
subrogation, the insured’s insurance company can stand in the insured’s shoes and recover
the pay-out from the negligent party. The goal of this principle is to encourage
responsibility and accountability by holding negligent parties responsible for injuries they
cause.

Loss Minimization

As the owner of an insurance policy, the insured have an obligation to take necessary steps
to minimize the loss of the insured’s insured property. The law doesn't allow the insured to
be negligent or irresponsible just because the insured know the person is insured. For
example, if a fire breaks out in the insured’s kitchen, the insured have an obligation to take
reasonable steps to put it out, like using a fire extinguisher or calling the fire department.
The insured can't just stand back and allow the fire to burn down the insured’s house
because the insured know that insurance will pay for it.

Proximate Cause

The principle of proximate cause, or nearest cause, comes into play when more than one
event or bad actor causes an accident or injury. An example would be if two separate
landowners carelessly burn piles of leaves, and the fires eventually join together and burn
down the insured’s house. The insurance principle of proximate cause dictates that nearest
or closest cause should be taken into consideration to decide the liability.

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Utmost Good Faith

Insurance contracts also require that both parties act with the utmost good faith. This means
that both parties must accurately and fully disclose all material information. This not only
ensures fairness, but also helps insurance companies accurately price premiums for
insurance applicants. Insurance policies can be declared null and void if an applicant made a
misrepresentation of material fact that was relied on by the insurance company.

INSURER’S BUSINESS MODEL

Underwriting and investing

The business model is to collect more in premium and investment income than is paid out in
losses, and to also offer a competitive price which consumers will accept. Profit can be
reduced to a simple equation:

Profit = earned premium + investment income – incurred loss – underwriting

expenses.

Insurers make money in two ways:

• Through underwriting, the process by which insurers select the risks to insure and
decide how much in premiums to charge for accepting those risks
• By investing the premiums they collect from insured parties

The most complicated aspect of the insurance business is the actuarial science of
ratemaking (price-setting) of policies, which uses statistics and probability to
approximate the rate of future claims based on a given risk. After producing rates, the
insurer will use discretion to reject or accept risks through the underwriting process.

At the most basic level, initial ratemaking involves looking at the frequency and severity
of insured perils. Thereafter an insurance company will collect historical loss data, bring
the loss data to present value, and compare these prior losses to the premium collected
in order to assess rate adequacy. Loss ratios and expense loads are also used. Rating for
different risk characteristics involves at the most basic level comparing the losses with
"loss relativities"—a policy with twice as many losses would therefore be charged twice
9
as much. More complex multivariate analyses are sometimes used when multiple
characteristics are involved and a univariate analysis could produce confounded results.
Other statistical methods may be used in assessing the probability of future losses.

Upon termination of a given policy, the amount of premium collected minus the amount
paid out in claims is the insurer's underwriting profit on that policy. Underwriting
performance is measured by something called the "combined ratio", which is the ratio of
expenses/losses to premiums. A combined ratio of less than 100% indicates an
underwriting profit, while anything over 100 indicates an underwriting loss. A company
with a combined ratio over 100% may nevertheless remain profitable due to investment
earnings.

Insurance companies earn investment profits on "float". Float, or available reserve, is

the amount of money on hand at any given moment that an insurer has collected in
insurance premiums but has not paid out in claims. Insurers start investing insurance
premiums as soon as they are collected and continue to earn interest or other income on
them until claims are paid out.

Naturally, the float method is difficult to carry out in an economically depressed period.
Bear markets do cause insurers to shift away from investments and to toughen up their
underwriting standards, so a poor economy generally means high insurance premiums.
This tendency to swing between profitable and unprofitable periods over time is
commonly known as the underwriting, or insurance, cycle.

Claims

Claims and loss handling is the materialized utility of insurance; it is the actual
"product" paid for. Claims may be filed by insured’s directly with the insurer or through
brokers or agents. The insurer may require that the claim be filed on its own proprietary
forms, or may accept claims on a standard industry form, such as those produced by
ACORD.

Insurance company claims departments employ a large number of claims adjusters

supported by a staff of records management and data entry clerks. Incoming claims are
classified based on severity and are assigned to adjusters whose settlement authority

10
varies with their knowledge and experience. The adjuster undertakes an investigation of
each claim, usually in close cooperation with the insured, determines if coverage is
available under the terms of the insurance contract, and if so, the reasonable monetary
value of the claim, and authorizes payment.

The policyholder may hire their own public adjuster to negotiate the settlement with the
insurance company on their behalf. For policies that are complicated, where claims may
be complex, the insured may take out a separate insurance policy add-on, called loss
recovery insurance, which covers the cost of a public adjuster in the case of a claim.

Adjusting liability insurance claims is particularly difficult because there is a third party
involved, the plaintiff, who is under no contractual obligation to cooperate with the
insurer and may in fact regard the insurer as a deep pocket. The adjuster must obtain
legal counsel for the insured (either inside "house" counsel or outside "panel" counsel),
monitor litigation that may take years to complete, and appear in person or over the
telephone with settlement authority at a mandatory settlement conference when
requested by the judge.

If a claims adjuster suspects under-insurance, the condition of average may come into
play to limit the insurance company's exposure.

In managing the claims handling function, insurers seek to balance the elements of
customer satisfaction, administrative handling expenses, and claims overpayment
leakages. As part of this balancing act, fraudulent insurance practices are a major
business risk that must be managed and overcome. Disputes between insurers and
insured over the validity of claims or claims handling practices occasionally escalate
into litigation.

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TYPES OF INSURANCE
Types of Insurance

Life Insurance General Insurance

Term Moneyback Unit- Pension Motor Home Health Fire

Life policy Linked Plans
Insurance
Plan

Life Insurance

Life insurance is a contract that offers financial compensation in case of death or disability.
Some life insurance policies even offer financial compensation after retirement or a certain
period of time. Life insurance, thus, it helps secure family’s financial security even in the
insured’s absence. Either a lump-sum payment is made while purchasing a life insurance
policy or periodic payments are made to the insurer. These are known as premiums. In
exchange, the insurer promises to pay an assured sum to the insured’s family in the event of
death, disability or at a set time.

Depending on what it covers, Life insurance can be classified into various types:
Term Insurance - It is the most basic type of insurance.
- It covers for a specific period.
- Insured’s family gets a lump-sum amount in the
case of the insured’s death.
- If the insured survives the term, no money will be
paid.

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Whole Life - It covers for a lifetime.
Insurance - The insured’s family receives a certain sum of
money after the insured’s death.
- They will also be entitled to a bonus that often
accrues on such amount.

Endowment Policy - Like a term policy, it is also valid for a certain

period.
- A lump-sum amount will be paid to the insured’s
family in the event of the insured’s death.
- Unlike a term plan, the insured get the maturity
proceeds after the term period.
Money-back Policy - A certain percentage of the sum assured will be
paid to the insured periodically throughout the term as
survival benefit.
- After the expiry of the term, the insured get the
balance amount as maturity proceeds.
- The insured’s family gets the entire sum assured in
case of death during the policy period. This is regardless
of the survival benefit payments made.

Unit-linked - Such products double up as investment tools.

Insurance Plans - A part of the insured’s premium goes towards the
(ULIP) insured’s insurance cover.
- The remaining amount is invested in Debt and
Equity.
- A lump-sum amount will be paid to the insured’s
family in the event of the insured’s death.

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Child Plan - This ensures the insured’s child’s financial security.
- In the event of the insured’s death, the insured’s
child gets a lump-sum amount.
- The insurer pays the premium amounts after the
insured’s death.
- The insured’s child will continue to get a certain sum
of money at specific intervals.

Pension Plans - This helps build the insured’s retirement fund. -

The insured can get a regular pension amount after
retirement.
- In the case of the insured’s death, the insured’s
family can claim the sum assured.

Tax Benefits

• Life insurance not only ensures the well-being of the insured’s family, it also brings
tax benefits.
• The amount the insured pay as premium can be deducted from the insured’s total
taxable income.
• However, this is subject to a maximum of Rs 1.5 lakh, under Section 80C of the
Income Tax Act.
• The premium amount used for tax deduction should not exceed 10% of the sum
assured.

General Insurance

A general insurance is a contract that offers financial compensation on any loss other than
death. It insures everything apart from life. A general insurance compensates the insured for
financial loss due to liabilities related to the insured’s house, car, bike, health, travel, etc.
The insurance company promises to pay a sum assured to cover damages to the insured’s

14
vehicle, medical treatments to cure health problems, losses due to theft or fire, or even
financial problems during travel.

Health Insurance

This type of general insurance covers the cost of medical care. It pays for or reimburses the
amount the insured pay towards the treatment of any injury or illness.

It usually covers:

• Hospitalization
• The treatment of critical illnesses
• Medical bills prior to or post hospitalization
• Day care procedures like Cataract operations

The insured can also opt for add-on benefits like:

• Maternity cover: The insured’s health insurance covers the insured for the costs
related to childbirth. This includes pre-delivery check-ups, hospitalization during
delivery, and post-natal care.
• Pre-existing diseases cover: The insured’s health insurance takes care of the
treatment of diseases the insured may have before buying the health insurance
policy.
• Accident cover: The insured’s health insurance can pay for the medical treatment of
injuries caused due to accidents and mishaps.

The insured’s health insurance can also help save tax. The insured’s premium payment can
reduce the insured’s taxable income.

15
For Tax deduction on the premium amount Total

Self Rs. 25,000 Rs. 25,000

(Rs. 30,000 if the insured are a senior (or Rs. 30,000)

citizen)

Parents, who are senior Rs. 30,000 Rs. 55,000

citizens
(or Rs. 60,000)

Senior citizen = Individual aged 60 or over

Motor Insurance

Motor insurance is for the insured’s car or bike what health insurance is for the insured’s
health.

It is a general insurance cover that offers financial protection to the insured’s vehicles from
loss due to accidents, damage, theft, fire or natural calamities

The insured can also get motor insurance for the insured’s commercial vehicles.

In India, the insured cannot drive or ride without motor insurance.

Let’s look at the two key types:

1. Car Insurance

It’s precious—the insured’s car. The insured paid lakhs of rupees to buy that beauty. Even a
single scratch can be painful, forget about bigger damages.

Car insurance can reduce this pain for a few thousand rupees.

16
How it works:

What the insurer will pay for depends on the type of car insurance plan the insured purchase

2. Two-wheeler Insurance

This is the insured’s bike’s guardian angel. It’s similar to Car insurance.

The insured cannot ride a bike or scooter in India without insurance.

How it works:

As with car insurance, what the insurer will pay depends on the type of insurance and what
it covers.

Types of Motor Insurance:

Third Party Insurance Comprehensive Car Insurance

Compensates for the damages Covers all kinds of damages and liabilities
caused to another individual, caused to the insured or a third party. It includes
their vehicle or a third-party damages caused by accidents, sabotage, theft,
property. fire, natural calamities, etc.

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Travel insurance

A travel insurance compensates the insured or pays for any financial liabilities arising out of
medical and non-medical emergencies during the insured’s travel abroad or within the
country.

There are two types of Travel Insurance.

Single Trip Policy Annual Multi Trip

It covers the insured during a trip that It covers the insured for several trips the
lasts under 180 days. insured take within a year.

What all does travel insurance usually covers?

• Loss of baggage
• Emergency medical expenses
• Loss of passport
• Hijacking
• Delayed flights
• Accidental death

Home Insurance

Home insurance is a cover that pays or compensates the insured for damage to the insured’s
home due to natural calamities, man-made disasters or other threats.

It covers liabilities due to fire, burglary, theft, flood, earthquakes, and sabotage. It not only
offers financial protection to the insured’s home, but also takes care of the valuables inside
the property.

Some of the common types of home insurance are as follows:

18
Standard fire and This covers the insured’s home against fire outbreaks and
special perils policy special perils.
The dangers covered are:
- Natural calamities like lightening, flood, storm,
earthquake, etc.
- Damage caused due to overflowing or bursting of
water tanks, pipes, etc.
- Damage caused due to man-made activities such as
riots, strikes, etc.

Home structure This protects the structure of the insured’s home from any
insurance kinds of risks and damages.
The cover is also extended to the permanent fixtures within
the house such as kitchen and bathroom fittings.

Public liability The damage caused to another person or their property inside
coverage the insured home can also be compensated.

Content Insurance This covers the content inside the insured home.
What’s commonly covered: Television, refrigerator, portable
equipment, etc.

Fire Insurance

Fire insurance pays or compensates for the damages caused to the insured’s property or
goods due to fire.

It covers the replacement, reconstruction or repair expenses of the insured property as well
as the surrounding structures.

It also covers the damages caused to a third-party property due to fire.

In addition to these, it takes care of the expenses of those whose livelihood has been
affected due to fire.

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Types of fire insurance

Some of the common types are:

Valued policy The insurer firsts value the property and then undertakes to
pay compensation up to that value in the case of loss or
damage.

Floating policy It covers the damages to properties lying at different places.

Comprehensive This is known as an all-in-one policy.

policy It has a wide coverage and includes damages due to fire,
theft, burglary, etc.

Specific policy This covers the insured for a specific amount which is less
than the real value of the property.

HEALTH INSURANCE: IN DETAIL

Health insurance is an insurance that covers the whole or a part of the risk of a person
incurring medical expenses, spreading the risk over numerous persons. By estimating the
overall risk of health care and health system expenses over the risk pool, an insurer can
develop a routine finance structure, such as a monthly premium or payroll tax, to provide
the money to pay for the health care benefits specified in the insurance agreement. The
benefit is administered by a central organization such as a government agency, private
business, or not-for-profit entity.

According to the Health Insurance Association of America, health insurance is defined as

"coverage that provides for the payments of benefits as a result of sickness or injury. It
includes insurance for losses from accident, medical expense, disability, or accidental death
and dismemberment"

A health insurance policy is a contract between an insurance provider (e.g. an insurance

company or a government) and an individual or his/her sponsor (e.g. an employer or a
20
community organization). The contract can be renewable (e.g. annually, monthly) or
lifelong in the case of private insurance, or be mandatory for all citizens in the case of
national plans. The type and amount of health care costs that will be covered by the health
insurance provider are specified in writing, in a member contract or "Evidence of Coverage"
booklet for private insurance, or in a national health policy for public insurance.

The individual insured person's obligations may take several forms:

• Premium: The amount the policy-holder or their sponsor (e.g. an employer) pays to the
health plan to purchase health coverage.
• Deductible: The amount that the insured must pay out-of-pocket before the health
insurer pays its share. It may take several doctor's visits or prescription refills before the
insured person reaches the deductible and the insurance company starts to pay for care.
Furthermore, most policies do not apply co-pays for doctor's visits or prescriptions
against your deductible.
• Co-payment: The amount that the insured person must pay out of pocket before the
health insurer pays for a particular visit or service. A co-payment must be paid each time
a particular service is obtained.
• Coinsurance: Instead of, or in addition to, paying a fixed amount up front (a
copayment), the co-insurance is a percentage of the total cost that insured person may
also pay. For example, the member might have to pay 20% of the cost of a surgery over
and above a co-payment, while the insurance company pays the other 80%. If there is an
upper limit on coinsurance, the policy-holder could end up owing very little, or a great
deal, depending on the actual costs of the services they obtain.
• Exclusions: Not all services are covered. Billed items like use-and-throw, taxes, etc. are
excluded from admissible claim. The insured are generally expected to pay the full cost
of non-covered services out of their own pockets.

• Coverage limits: Some health insurance policies only pay for health care up to a certain
dollar amount. The insured person may be expected to pay any charges in excess of the
health plan's maximum payment for a specific service. In addition, some insurance
company schemes have annual or lifetime coverage maxima. In these cases, the health

21
 plan will stop payment when they reach the benefit maximum and the policy-holder
must pay all remaining costs.
• Out-of-pocket maximum: Similar to coverage limits, except that in this case, the
insured person's payment obligation ends when they reach the out-of-pocket maximum,
and health insurance pays all further covered costs. Out-of-pocket maximum can be
limited to a specific benefit category (such as prescription drugs) or can apply to all
coverage provided during a specific benefit year.

• Capitation: An amount paid by an insurer to a health care provider, for which the
provider agrees to treat all members of the insurer.

• In-Network Provider: A health care provider on a list of providers preselected by the

insurer. The insurer will offer discounted coinsurance or co-payments, or additional
benefits, to a plan member to see an in-network provider. Generally, providers in
network are providers who have a contract with the insurer to accept rates further
discounted from the "usual and customary" charges the insurer pays to out-of-network
providers.

• Out-of-Network Provider: A health care provider that that has not contracted with the
plan. If using an out-of-network provider, the patient may have to pay full cost of the
benefits and services received from that provider. Even for emergency services, out-of-
network providers may bill patients for some additional costs associated.

• Prior Authorization: A certification or authorization that an insurer provides prior to

medical service occurring. Obtaining an authorization means that the insurer is obligated
to pay for the service, assuming it matches what was authorized. Many smaller, routine
services do not require authorization.

22
• Formulary: The list of drugs that an insurance plan agrees to cover.
• Explanation of Benefits: A document that may be sent by an insurer to a patient
explaining what was covered for a medical service, and how payment amount and
patient responsibility amount were determined. In the case of emergency room billing,
patients are notified within 30 days post service. Patients are rarely notified of the cost
of emergency room services in-person due to patient conditions and other logistics until
receipt of this letter.

In India, provision of health care services varies state-wise. Public health services are
prominent in most of the states, but due to inadequate resources and management, major
population opts for private health services.

To improve the awareness and better health care facilities, Insurance Regulatory and
Development Authority of India and The General Corporation of India runs health care
campaigns for the whole population. IN 2018, for under privileged citizens, Prime Minister
Narendra Modi announced the launch of a new health insurance called Modicare and the
government claims that the new system will try to reach more than 500 million people.

In India, Health insurance is offered mainly in two Types:

• Indemnity Plan basically covers the hospitalization expenses and has subtypes like
Individual Insurance, Family Floater Insurance, Senior Citizen Insurance, Maternity
Insurance, and Group Medical Insurance.
• Fixed Benefit Plan pays a fixed amount for pre-decided diseases like critical illness,
cancer, heart disease, etc. It has also its sub types like Preventive Insurance, Critical
illness, Personal Accident.

Depending on the type of insurance and the company providing health insurance, coverage
includes pre-and post-hospitalization charges, ambulance charges, day care charges, Health
Checkups, etc.

It is pivotal to know about the exclusions which are not covered under insurance schemes:

• Treatment related to dental disease or surgeries

23
• All kind of STD's and AIDS
• Non-Allopathic Treatment
Few of the companies do provide insurance against such diseases or conditions, but that
depends on the type and the insured amount.

Some important aspects to be considered before choosing the health insurance in India are
Claim Settlement ratio, Insurance limits and Caps, Coverage and network hospitals.

24
 CHAPTER II

STAR HEALTH INSURANCE COMPANY

25
Commencing operations on 18th May, 2006 as India’s first Standalone Health Insurance
provider, Star Health and Allied Insurance Co Ltd is providing sterling services in Health,
Personal Accident and Overseas Travel Insurance etc. The company’s efforts have always
been on service excellence and product innovation with a focus on delivering the best to its
customers.

With the first year’s revenue of 22 crores, that is, in 2006, the company has grown to
Rs.2999 crs in the financial year 2016-17 to Rs.4200 in FY 2017-18 and Rs.5413 crs in
FY 2018-19. The company’s growth has been at a CAGR of 38% yoy basis and aims at a
target of Rs.7000 crs in the FY 2019-20.
The company’s market capitalization rate is at 58% and the claim settlement ratio is 96%.
92% claims have been settled in 2 hours turnaround time (tat), 84% of which in just 1 hour
turnaround time.

Star health insurance had a capital base of 549 crores which is more than sufficient to form a
general insurance company.

Star Health has excellent products to cater everybody, be it individuals, families or

corporates. The company works directly as well as through various channels like agents,
brokers, online etc., Star Health is also prominently into Bancassurance having long
standing relationship with various Banks. It provides very creative, innovative and disease
specific products which are not provided by other competitors such as policies for disability
(blind, deaf and dumb, cleft clip), cancer policies, diabetes policies, cardiac policies, autism
policies etc.

Star Health is widely spread across the globe with 450+ branches, 26 zonal office, 22 area
offices with 10600+ employees. It connects 9300 network hospital, aiming to connect
10000 hospitals with 2700 designated labs. Star Health provides hassle-free inhouse claim
settlement without intervention of Third Party administrator and also provides personalized
doctor visit for customers getting hospitalized and free Second Medical Opinion.

26
The company has an exclusive client relationship cell which is operational 24 hours and all
7 days in 3 rotational shifts. The client cell employees speak all regional languages to
provide the best services. It follows a rejection and reconsideration scheme (grievances
scheme) to settle maximum claims.

Star Health is the market leader and has won various awards over the past years. Health
Insurance provider of the year 2018 by Outlook Money awards, Best Health Insurance
provider of the year 2018 by Business Today in Money Today financial awards 2018 –
2019 and India’s leading Insurance Company of the year by Dun & Bradstreet BFSI
Summit & Awards 2019 are some of the awards that the company won last year.

PROMOTERS OF STAR HEALTH INSURANCE COMPANY:

• Oman insurance company, UAE

• Leading NRI’s.
• Indian business houses
• ICICI ventures
• Sequoia capital Tata capital.

VISION

• To become the largest and the most preferred Health Insurance Company in India.
• To provide financial security for health care management.

COMMITMENT

Star health assures to

• Make available insurance coverage to every segment of the population.

• Expand product lines and services continually
• Build and maintain enduring relationships with the customers.

27
 • Conduct the business operations with customer as the focal point.
• Create insurance awareness as part of Corporate Social Responsibility.

STANDARDS FOR ACCESS TO INFORMATION

The company shall

• Educate the public and the customers of multiple options in products and services.
Distribute brochures on products and services.
• Spread information on products and services through internet, interactive voice
response system and information kiosks etc.,
• Provide access to customers through internet & call centre helplines
• Enhance the content and quality of communication in mass media like the Press,
Television, Radio, Social Media etc.,

BENCHMARKS FOR SERVICING

On Settlement of Claims, the company shall

• Decide on pre- authorization for cashless facility within 4 hours from the receipt of
the request.
• Decide on reimbursement claims within 30 days of the receipt complete
documents/clarifications.
• Enable the customers to know the claim status within 3 days of receipt of the
documents.

MISSION

• To offer wide range of innovative products / services.

• To provide prompt, courteous and quality service to the customers.
• To leverage state of art technology for customer satisfaction.
• To adopt the best management practices in business operations.

28
STANDARDS FOR FAIRNESS IN DEALING WITH CUSTOMERS

The company shall

• Strive to deal with the customers in an open and transparent manner.

• Explain the rationale behind decisions consistent with the business practice.

BENCHMARKS FOR SERVICING

On Underwriting, the company shall

• Issue policies on individual Health, Personal Accident, Corporate and Overseas

Mediclaim Policies instantly.
• Confirm underwriting decision within 7 days from the receipt of medical reports -
wherever pre-medical examination is required.
• Send renewal notice 45 days before the expiry of the policy.

STANDARDS FOR REDRESSAL OF GRIEVANCES

Star health shall

• Ensure effective Grievance Redressal Mechanism for the customers who approach
us through the Integrated Grievance Management System (IGMS) / Customer Care
Dept / the Grievances Dept
• Register all grievances and send the acknowledgements within 3 days.
• Resolve grievances within 15 days of receipt.

COMMON EXCLUSIONS OF POLICIES

There is some common exclusion for all policies. They are listed below:

• Pre-existing diseases are defined in the policy until 48 consecutive months of

continuous coverage has elapsed, since inception of the first policy with any Indian
insurer.

29
 • Any disease contracted by the insured person during the first 30 days from the
commencement of date of policy.
• During the first two years of continuous operation of insurance cover, the expenses
on treatment of cataract, hysterectomy for menorrhagia or fibromyoma, prolapsed of
intervertebral disc (other than caused by accident)
• Injury / disease directly or indirectly caused by or attributed to war, invasion, act of
foreign enemy, war line operations.
• Circumstances unless necessary for the treatment of disease not excluded here under
or as may be necessitated due to an accident, vaccination etc.,
• Cost of spectacles and contact lens, hearing aids, walkers, crutches, wheel chairs,
artificial limbs and such other aids.
• Charges incurred for diagnostic, x-ray or laboratory examinations not consistent with
or incidental to diagnostics.
• Expenses on vitamins and tonics unless forming part of treatment for injury or
disease as certified by the attending physician.
• Hospital registration charges, admission charges, record charges telephone and such
other charges.
• Expenses incurred on Lasik or refractive error correction treatment.
• Expenses incurred on weight control services including surgical procedures for
treatment of obesity, medical treatment for weight control programs.
• Expenses incurred as detailed elsewhere in the policies.
COMMON CONDITIONS

a. The premium payable under this policy shall be payable in advance. No receipt of
premium shall be valid except on the official form of the company signed by a
duly authorized official of the company.
b. Upon the happening of any event, which may give rise to a claim under this policy,
notice with full particulars shall be sent to the company within 24 hours from the
time of occurrence of the event.
c. Claim must be filed within 15 days from the date of discharge from the hospital.

30
 d. The policy will be renewed except on grounds of misrepresentation/fraud
committed grace period of 30 days from the date of expiry of the policy is
available for renewal .If renewal is made within 30 days period continuity of
benefits will be allowed. No protection is available between the policy expiry date
of payment of premium renewal.
e. A free look period of 15 days from the date of receipt of policy is available to the
insured to review the terms and conditions; the insured may seek cancellation of
the policy.
f. There shall be automatic restoration of the basic sum assured immediately upon
exhaustion of the limit of coverage which has otherwise been defined during the
policy period.

CANCELLATION OF THE POLICY

The company may cancel this policy on grounds of misrepresentation, fraud, moral hazard,
non-disclosure of material fact or non-cooperation by the insured person, by sending the
insured 30 days’ notice by registered letter at the insured persons last known address. Period
rate only provided No claim has occurred up to the date of cancellation INSURANCE
PLANS PROVIDED BY STAR HEALTH

A number of effective and efficient health insurance plans are offered by Star Health
Insurance online. Below we are providing the best health insurance plans from Star Health
with concise description.

Family Health Optima

This is a family floater plan from Star Health and it comes with extensive coverage options
at an affordable premium. Any person aged between 18 and 65 years can buy this Star
Health Insurance policy online. The policy comes with lifelong renewal option and free
check-up benefit against every claim-free year. A newborn baby can be covered under the
policy from the 16th day. The policy offers coverage for all day care procedures and it has
auto recharge facility with no extra cost.

31
Star Super Surplus

This is one of the best health insurance plans from Star Health. The policy comes with high
Sum Insured option at an affordable premium and two plan options – Silver and Gold.
Anyone living in India aged between 18 and 65 years can buy this Star Health Insurance
policy online for individual or family floater basis. The policy covers preexisting diseases
after 36 months of waiting period.

Star Senior Citizens Red Carpet Health Insurance

As the name suggests, this policy is specifically designed for the senior citizens who are
aged between 60 and 75 years and one need not take any pre-insurance medical test to buy
it. Pre-existing diseases are covered from the second year under the policy. The plan comes
with a high Sum Insured of up to 10 lakhs and also offers lifetime renewal facility. You can
avail a discount of 5% on the premium if you buy this Star Health Insurance policy online.

Star Health Insurance Comprehensive Plan

This policy is designed to cover both individual and family including your spouse and
dependent children. Anyone living in India aged between 18 to 65 years can buy this Star
Health Insurance plan online. Dependent children are covered from the age of 3 months
until the age of 25 years. The policy imposes no cap on treatment costs and room rent and it
covers 400+ day care procedures. It also offers coverage for personal accidental death and
permanent disability equivalent to the health insurance cover at no extra cost. The policy
offers 100% increase in the Sum Insured on renewal against claim free years.

Medi Classic

This plan is designed for individuals only. It can be purchased by any one aged between 5
months and 65 years. The policy comes with an automatic restoration of complete Sum
Insured by 200%. It covers 101-day care procedures and the No Claim Bonus of 5% can go
as high as 25% against each claim free year. The policy covers pre-existing diseases after 48
months of waiting period and it can be procured by an HIV positive person being subjected
to applicable conditions.

32
Star Unique Health

This is an out of ordinary two-year health insurance plan for individuals. Any individual
aged between 18 to 65 years can enroll for this Star Health Insurance policy. The plan pays
for the pre and post hospitalization expenses as per policy limits. You can pay the premium
for this policy in two installments.

Star Family Delite Insurance Policy

This Star Health Insurance plan is designed for the family and it offers coverage for self,
spouse and dependent children. The policy can be taken by anyone in India aged between 5
months and 65 years. This plan covers pre and post hospitalization expenses as well as
specified day care procedures.

Star Gain Health Insurance Policy

Star Gain Health Insurance Policy provides coverage for both individual and family and
covers both inpatient and outpatient treatments. Any individual aged between 5 months and
65 years can opt for this plan. You can also avail No Claim Discount up to 10% on your
Star Health Insurance renewal.

Star Criticare Plus

This Star Health insurance policy offers coverage for 9 specified critical illnesses. The
policy offers lump sum payment on diagnoses of critical illness and it also covers
nonallopathic treatment as per policy limits. The policy can be procured by any individual
aged between 18 and 65 years.

Diabetes Safe

As the name suggests, this policy is particularly designed for diabetic patients and it can be
purchased on both individual and family floater basis. The policy covers the hospitalization
expenses in case of hospitalization due to both type of diabetes – 1 and 2. Two types of
plans – Plan A and Plan B are available under the policy. Plan A has no waiting period
whereas there’s a 15-month waiting period for Plan B. The policy covers 400+ day care

33
procedures and offer automatic restoration of total Sum Insured. This Star Health policy
also pays for the costs of artificial limbs as per specified policy limits.

Star Health Gain

This is a family floater health insurance plan that is designed to cover the costs of an entire
family in the range of Rs.1 Lakh and Rs.5 Lakh. Outpatient benefits are offered along with
general benefits under this plan. Maximum 2 adults and 3 children in a family aged between
5 months and 65 years can be covered under this Star Health Insurance policy.

Star Wedding Gift

This Star Health Insurance plan is designed to cover the expenses linked with child delivery
i.e. both Normal and Caesarean. The policy also offers coverage for newborn baby. It
provides cover for non-allopathic treatment as per specified limits and also covers regular
hospitalization expenses. The policy can be procured for 1- and 2-year term and it requires
no pre-medical screening. Any couple aged between 18 to 40 years can buy this policy.

Star Health Insurance Care Plan

You can avail this policy for self or your family. It comes with pre and post hospitalization
coverage. The policy also provides hospital cash benefit if the treatment is done from a
government hospital. Anyone living in Tier 1 and Tier 2 cities in India aged between 18 and
65 years can avail this policy. The policy offers whole life renewal benefit.

Star Cancer Care Gold

This Star Health Insurance policy is the very first insurance product specifically designed
for any person diagnosed with cancer. Two types of Sum Insured options are available
under the policy – Rs. 3 Lakhs and 5 Lakhs. Anyone aged between 5 months to 65 years
suffering from cancer illness can buy this policy. The policy term is 1 year.
Spouse/Dependent Children/ Dependent Parents can be covered under the policy if it is
purchased by an individual.

34
Star Cardiac Care Insurance Policy

This policy is specifically for the protection of heart patients aged between 10 and 65 years.
This Star Health Insurance plan is available in two plan options – Gold and Silver. The
policy covers 405-day care procedures and covers the expenses of pre and post
hospitalization as per specified limits.

Star Micro Health Insurance

This is a basic Mediclaim insurance from Star health at an affordable price. The policy
covers hospitalization expenses as per specified limit and also covers ambulance charges for
the transportation of an insured person. Anyone aged between 5 months and 65 years can
buy this Star Health Insurance online in India.

Star Net Plus

This is an exclusive policy for HIV+ infected persons in India. Various NGOs,
Governmental agencies and other registered societies serving persons who have been
diagnosed with HIV can offer their beneficiaries/ members to avail this insurance.

Star Health Travel Insurance

The travel insurance policies from Star Health are designed to provide maximum coverage
against various travel related contingencies while on an overseas trip. The company has four
types of travel insurance policies on offer namely: Star Travel Protect Insurance Policy, Star
Family Travel Protect Insurance Policy, Star Student Travel Protect Insurance Policy and
Star Corporate Travel Protect Insurance Policy. These policies cover emergency medical
expenses including medical evacuation and transportation, Loss of checked in baggage,
Legal Liability for bodily injury or property, Delay of checked in baggage, Personal
Accident, Dental emergency expenses in case of an accident etc. You can instantly buy Star
Health Travel Insurance policy online.

Star Health Accident Care

Star Health Accident Care plan covers Accident death, Permanent and temporary
disablement. The policy also offers enhanced weekly reimbursement up to Rs.15000/- per

35
week (maximum 100 weeks), Compensation against Permanent Total Disablement for
150% of the Sum Insured, Cumulative bonus for 5% per annum (maximum 50%), and
Educational Grant for dependent children.

36
 CHAPTER III

STAR HEALTH INSURANCE COMPANY,

VELACHERY BRANCH

37
Star Health Insurance’s Velachery branch, located in the Gandhi Salai, Chennai 600042,
opposite Thiruvallur Park, was started in 2010. The branch is headed by Mr.Srinivasa Rao
who directs and guides 21 sales managers and 500 insurance agents. The branch also has 15
other internal staffs that assist the insurance functions. The branch operates during
weekdays between 9:30 A.M and 6:30 P.M while on Saturdays the branch is open till 2:30
P.M. payment Via Cash, Master Card, Visa Card, Debit Cards, Cheques and Credit Card is
accepted in this branch

This branch of Star Health has a target of 10cr and 30 lakhs as the sales target and has
achieved 99.26 lakhs as on 12th February 2020.The branch sells a variety of policies of
which Family Health Optima plan and Comprehensive plan are the most sold policies.

STAR FAMILY HEALTH OPTIMA INSURANCE PLAN

Star Health Family Optima is a complete health insurance policy for the family which
covers medical expenses incurred by a person due to any illness or injury. There is a
considerable saving in premium as the entire family is covered under one policy with single
sum insured.

Key Features of Star Family Health Optima Insurance Plan

• Wide cover for treatment against illnesses and accident

• Benefits of coverage before, during and after hospitalization

• The entire family gets covered by paying a single premium amount

• No medical checkup till 50 years of age and post which checkup is done at the
company expense
• Pre-existing diseases are covered after 48 months of continuous insurance.

38
What is covered in Star Family Health Optima Insurance Policy

• In-patient expenses which includes the room accommodation charges in hospital

.This means that the insured is hospitalised for a minimum of 24 hours.

• Nursing expenses
• Fees paid to consultant, surgeon, specialist and/or anesthetist
• Money spent on medicines and drugs
• Cost incurred on hiring emergency ambulance to transport the insured patient to the
hospital
• Expenses incurred prior to hospitalization and post hospitalization

39
Additional Benefits of Star Family Health Optima Insurance Policy

• Pre-existing diseases are covered after 48 months of continuous renewal of

insurance.

• No Third Party Administrator (TPA) used for claim settlement; same is done directly
by in-house team
• Free consultation by general physician over the phone
• Offers a 10% cumulative bonus for every claim-free year

Eligibility and Restrictions of Star Family Health Optima Insurance Plan

Particulars Minimum Maximum

Coverage Amount (in Rs.) 1,00,000 5,00,000

Policy Term (in years) 1 1

Entry Age (in years) 5 months 60 years

Renewable till Age (in years) - 60 years

Family floater policy will cover

• An individual and/or his spouse

• 3 Dependent children till age 25 years

Exclusions - What is not covered in Star Family Health Optima Insurance Plan?

• All treatments of illness / disease / sickness by the insured person within the first 30
days from the date of commencement of the policy

• Exclusion of certain diseases from the first two policy years namely - cataract,

40
 Replacement surgery for knee and/or joint, Hysterectomy for Menorrhagia or Fibromyoma,
varicose veins and Prolapse of intervertebral disc, varicose ulcers. Some of them are covered in
case caused due to accident.
• Exclusion of few diseases from the first policy year like Piles, Hernia, congenital
internal disease/defects, Hydrocele, Fistula in anus, Sinusitis and related disorders,
removal of gallstones and renal stone, Benign Prostate Hypertrophy
• If certain expenses are incurred but are only diagnostic in nature and there is no
positive existence of any illness or disease
• Non-allopathic treatment expenses
• Treatment of any congenital disease, defects or anomalies that are external
• Naturopathy treatment
• Expenses that are cosmetic in nature

Star Comprehensive Insurance Policy

Star Comprehensive Insurance Policy is, as the name suggests, a comprehensive health
insurance plan which can be taken individually or for the entire family. The policy also
covers maternity related expenses and is available for individuals aged up to 65 years.

Key features of the plan

• There are no pre-entrance medical check-ups for individuals aged up to 50 years.

• The available Sum Insured under the plan ranges from Rs.5 lakhs to Rs.25 lakhs and
the extent of benefits depends on the Sum Insured chosen.

• The plan also covers expenses incurred on Bariatric surgeries.

• There is an inbuilt Accidental Death and Permanent Total Disablement benefit

which increases the scope of coverage.

41
 How does the plan work?

Step 1 – the policyholder chooses the Sum Assured and the members covered.

Step 2- If the covered member (s) face any medical contingency and the related expenses
are covered by the plan the expenses incurred are paid by the plan.

Step 3 – if the plan matures and no medical contingencies occur, no benefit is paid.

Plan benefits

• Medical benefits – the list of medical expenses covered by the plan and their extent is as
follows:
Coverages Sum Sum Sum Sum Sum Sum
Insured Insured Insured Insured Insured Insured
Rs.5 Rs.7.5 Rs.10 Rs.15 Rs.20 Rs.25
lakhs lakhs lakhs lakhs lakhs lakhs

Room rent, A single, A single, A single, A single, A single, A single,

Boarding standard, standard, standard, standard, standard, standard,
expenses AC room AC room AC room AC room AC room AC room

Day care 405 405 405 405 405 405

treatment treatment treatment treatment treatment treatment
treatments
covered covered covered covered covered covered

Pre 30 days 30 days 30 days 30 days 30 days 30 days

hospitalizing

Post 60 days 60 days 60 days 60 days 60 days 60 days

hospitalising

42
Coverages Sum Sum Sum Sum Sum Sum
Insured Insured Insured Insured Insured Insured
Rs.5 Rs.7.5 Rs.10 Rs.15 Rs.20 Rs.25
lakhs lakhs lakhs lakhs lakhs lakhs

Domiciliary Covered Covered Covered Covered Covered Covered

hospitalizati
on

Second Covered Covered Covered Covered Covered Covered

medical
opinion

Ambulance Up to Up to Up to Up to Up to Up to
cover Rs.2000 Rs.3000 Rs.3500 Rs.4000 Rs.4500 Rs.5000

Air Not Up to Up to Up to Up to Up to
Ambulance covered 10% of 10% of 10% of 10% of 10% of
Cover Sum Sum Sum Sum Sum
Insured Insured Insured Insured Insured

Outpatient Up to Up to Up to Up to Up to Up to
dental and Rs.5000 Rs.5000 Rs10000 Rs10000 Rs.10000 Rs.10000
ophthalmic
cover

Hospital Rs.500/ Rs.750/ Rs.750/ Rs.1000/d Rs.1000/d Rs.1500/d

Cash day day day ay ay ay

Allowance

43
Coverages Sum Sum Sum Sum Sum Sum
Insured Insured Insured Insured Insured Insured
Rs.5 L Rs.7.5 L Rs.10 L Rs.15 L Rs.20 L Rs.25 L

Outpatient Up to Up to Up to Up to Up to Up to
medical Rs.1200 Rs.1200 Rs2100 Rs.2400 Rs.3000 Rs.3300
consultation per per per
consultati per consultati per consultati per
on limit to consultati on limit to consultati on limit to consultatio
Rs300 Rs300 Rs.300
on limit to on limit to n limit to
Rs.300 Rs300 Rs.300

Maternity Normal Normal Normal Normal Normal Normal

expenses delivery delivery delivery delivery delivery delivery
Rs10000 Rs20000 Rs25000 Rs.25000 Rs.25000 Rs.25000
Cesarean Cesarean Cesarean Cesarean Cesarean Cesarean
delivery delivery delivery delivery delivery delivery
Rs15000 Rs40000 Rs40000 Rs.40000 Rs.40000 Rs.40000

New born Up to Up to Up to Up to Up to Up to Rs.1

Rs.50000 Rs.1 lakh Rs.1 lakh Rs.1 lakh Rs.1 lakh lakh
baby cover

First year Up to Up to Up to Up to Up to Up to
vaccination Rs.1000 Rs.1000 Rs.1000 Rs.1000 Rs.1000 Rs.1000

Restoration Up to Up to Up to Up to Up to Up to
of Sum 100% of 100% of 100% of 100% of 100% of 100% of
Assured Sum Sum Sum Sum Sum Sum
Insured Insured Insured Insured Insured Insured

44
 Coverages Sum Sum Sum Sum Sum Sum
Insured Insured Insured Insured Insured Insured
Rs.5 L Rs.7.5 L Rs.10 L Rs.15 L Rs.20 L Rs.25 L

Health Up to Up to Up to Up to Up to Up to
check-ups Rs.5000 Rs.7500 Rs.7500 Rs.12000 Rs.12000 Rs.12000
once in 3yr

Bariatric Rs.2.5 Rs.2.5 Rs.2.5 Rs.2.5 Rs.2.5 Rs.2.5

Surgery lakhs lakhs lakhs lakhs lakhs lakhs

Accidental Rs.5 L Rs.7.5 L Rs.10 L Rs.15 L Rs.20 L Rs.25 L

death

• No Claim Bonus – if the policyholder does not make a claim in any policy year he earns a
cumulative bonus of 50% increase in the Sun Insured subject to a maximum of 100% if the
cover is Rs.5 lakhs and 100% increase in case Sum Insured is above Rs.5 lakhs.

Particulars Minimum Maximum

Age at entry (in completed years) 3 months Adults - 65 years

Dependent children – 25 years

Premium paying options Single pay

Sum Assured Rs.5 lakhs Rs.25 lakhs

45
What is not covered by the plan

• Illnesses suffered during the first 30 days of the plan commencement are not
covered.

• Critical Illnesses suffered during the first 90 days of the plan commencement are not
covered.

• Pre-existing illnesses or conditions are not covered by the plan in the first 4 years of
the policy

• Maternity related expenses and bariatric surgeries are not covered in the first 3 years
of the policy.

• Specific illnesses are not covered in the first two years of the plan.

• Illnesses or accidents caused due to genetic disorder or stem cell surgery, substance
abuse, participation in adventure sports or hazardous activities, criminal acts,
attempted suicide, war and hazardous substances, etc. are not covered.

• Treatments like dental treatments, cosmetic treatments, artificial life support, weight
loss treatments, non-allopathic treatments or due to HIV/AIDS, etc. are not covered.

MEDICLASSIC INSURANCE POLICY (INDIVIDUAL)

The modern world is filled with high risks and uncertainties. Just one unexpected event of
hospitalization is enough to wipe out years of savings that was meant to realize your
dreams. Health Insurance protection is the need of the hour to protect your savings.
Mediclassic Insurance from Star Health is a policy that provides cover for hospitalization
expenses incurred as a result of illness/disease/sickness and/or accidental injuries, so that
you can keep your dreams alive.

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Pre-acceptance medical screening

Persons above 50 years of age will have to undergo pre-acceptance health screening at the
company's nominated centers

Day Care Procedures

All Day Care Procedures are covered.

Policy Term

Year and 2 Years

Eligibility

Any person aged between 5 Months and 65 years can take this insurance. Thereafter only
renewals will be accepted without capping on the exit age: Lifelong Renewal.

Sum Insured Options:

Rs.1,50,000/- ; Rs.2,00,000/-; Rs.3,00,000/-; Rs.4,00,000/-; Rs.5,00,000/-; Rs.10,00,000/-

; Rs.15,00,000/-

Benefits

• Room, boarding, nursing expenses as provided by the Hospital / Nursing Home at

2% of the Sum Insured, subject to a maximum of Rs.5,000/- per day.

• Surgeon, Anesthetist, Medical Practitioner, Consultants, Specialist Fees.

• Anesthesia, Blood, Oxygen, Operation Theatre charges, Cost of Pacemaker etc.

• Emergency ambulance charges for transporting the covered patient to the hospital up
to a sum of Rs. 750/- per hospitalization and overall limit of Rs. 1500/- per policy
period.

Pre-Hospitalization:

Medical expenses up to 30 days prior to the date of admission is covered in the plan.

Post Hospitalization:

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 • Medical expenses up to a period of 60 days after discharge from the hospital. The
amount payable shall not exceed the sum equivalent to 7% of the hospitalization
expenses subject to a maximum of Rs.5000/- per hospitalisation. For the purpose of
calculation of the 7%, only nursing expenses, surgeon’s/consultants fees, diagnostic
charges and cost of drugs and medicines will be taken.

• Expenses relating to hospitalization will be considered in proportion to the eligible

room category stated in the policy or actual whichever is less

Cost of Health checkup

Expenses incurred towards Cost of Health checkup up to 1% of the average Basic Sum
Insured after every block of four continuous claim free year subject to a maximum of
Rs.5000/- and payable on renewal. This benefit is available for Basic Sum Insured of
Rs.200000/- and above only. Note: Payment under this benefit does not form part of the
Basic Sum Insured.

Cataract

The expenses incurred on treatment of cataract are payable up to the limits mentioned
hereunder.
Basic Sum Insured (Rs.) Limit for Cataract Surgery (Rs.)

Up to 2,00,000/- 12,000/- per person per policy period

3,00,000/- to 5,00,000/- 20,000/- per eye per person and not

exceeding 30,000/- per person per policy
period

10,00,000/- and 15,00,000/- 30,000/- per eye per person and not
exceeding 40,000/- per person per policy
period.

Psychiatric and Psychosomatic Disorder

If the insured person is diagnosed with psychiatric or psychosomatic disorder for the first
time and hospitalized for minimum period of 5 consecutive days under this policy, then the

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Company will pay hospitalization expenses up to Basic sum insured, provided the insured
person has been covered under this policy for a continuous period of 24 months without any
break Note: The treatment should be taken at Authorized Psychiatric hospital licensed by
Mental Health Authority or any similar Authority of Central or State Government or Union
Territory.

Cumulative bonus

The insured person will be eligible for Cumulative bonus calculated at 5% of the basic sum
insured for every claim free year subject to a maximum of 25%.

Special Conditions

• The Cumulative bonus will be calculated on the expiring Basic Sum Insured or on
the renewed Basic Sum Insured whichever is less.

• If the insured opts to reduce the Basic Sum Insured at the subsequent renewal, the
limit of indemnity by way of such Cumulative bonus shall not exceed such reduced
basic sum insured.

• In the event of a claim resulting In :-

➢ Partial utilization of Basic Sum Insured, such cumulative bonus so granted will be
reduced at the same rate at which it has accrued.

➢ Full utilization of Basic Sum Insured and nil utilization of cumulative bonus
accrued, such cumulative bonus so granted will be reduced at the same rate at which
it has accrued.

➢ Full utilization of Basic Sum Insured and partial utilization of cumulative bonus
accrued, the cumulative bonus granted on renewal will be the balance cumulative
bonus available and will be reduced at the same rate at which it has accrued .

➢ Full utilization of Basic Sum Insured and full utilization of cumulative bonus
accrued, the cumulative bonus granted on renewal will be “nil” or “zero”.

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 Non Allopathic Treatment In patient Hospitalizations Expenses incurred for treatment
of diseases / illness / accidental injuries by system of medicines other than allopathic
up to 25% of the Basic Sum Insured subject to a maximum of Rs 25000/- during
entire policy period. Automatic Restoration of Basic Sum Insured: There shall be
automatic restoration of the Basic Sum Insured by 200%, once during the policy
period, immediately upon exhaustion of the limit of coverage which has been
defined. It is made clear that such restored Basic Sum Insured can be utilized only
for illness / disease unrelated to the illness / diseases for which claim/s was / were
made. The restored Basic Sum Insured cannot be carried forward.

STAR SENIOR CITIZENS RED CARPET HEALTH INSURANCE PLAN

Star Senior Citizens Red Carpet is a health insurance policy offered by Star Health
Insurance Company. Any individual between the age of 60 to 75 years can take this
insurance policy. This policy is specially designed to cater to the medical needs of senior
citizens.

Features & Benefits of Star Senior Citizens Red Carpet:

Entry Age Any individual between the age of 60 to 75 years can take this.

Basis Individual

Medical No pre-acceptance medical screening is required.

Screening

Renewability Lifelong renewability is offered.

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Special • Treatment available at network hospitals only
Features • All pre-existing disease are covered after 12 months of
continuous insurance renewal.
• The policy will automatically terminate upon the death of the
insured persons and upon
• Exhaustion of the limit of coverage.

Policy Term Policy is available for 1, 2 and 3 years. In case of a 2-year policy, a
discount of 5% is offered on the two-year premium paid.

Sum Assured Sum assured ranges from Rs.1,00,000 to Rs.10,00,000 lakhs.

Premium Premiums range from Rs.4,450 to Rs.22,500 depending on the sum

assured and age.

Co-Payments A co-payment of 50% is applicable for pre-existing disease claims and

30% for other claims.

Discount A discount of 5% on premiums (based on certain criteria)

Star • Get direct in-house claim settlement. No thirdparty

Advantages administrator is involved.
• Hassle-free claim settlement.
• Tie-up with 7800 network hospitals.
• Personalized E -health records.
• Cashless hospitalization.
• Free medical consultation over phone 24x7.
• Free storage facility for keeping medical records in electronic
form.

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Benefits • Get tax benefit for the amount paid as premium under section
80D of the
• Income Tax Act, 1961.
• A free look period of 15 days from the date of receipt of the
policy is available to the insured person.
• Inpatient hospitalization expenses covered.
• Ambulance charges for emergency transportation to hospital is
covered.
• Post-hospitalization paid as lump-sum up to the limit
specified.
• Certain day-care procedures are covered.
• The policy offers portability. You can transfer your policy
from one insurance provider to another.
• ICU expenses are covered.
• Nursing expenses are covered
• Consultation fee, surgeon's fee, anesthetist's fee
and
specialist’s fee are covered up to
• 25% of the sum insured

Exclusions Hospital registration charges, admission charges, telephone charges,

cost incurred in weight control services and neuropathy treatments,
expenses in vitamins and tonics etc.

ACCIDENT CARE INDIVIDUAL INSURANCE PLAN

Accident Care Individual Insurance by Star Health and Allied insurance company is a
standalone personal accident disability plan which offers coverage in case of death or
disability resulting from an accident. Under this coverage compensation is provided in case
of accident related death or injury. This lump sum amount depends on the severity of the
injury.
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Plan variants

None

Available options

This option is available to Individual, Family Floater, Family package or Group coverage
with group coverage having no additional benefits.

Main highlights of the plan

Along with the basic coverage offered in a personal accident disability plan Accident Care
Insurance by Star Health insurance offers benefits like:

• Coverage for all three occupational risk groups namely group I, group II and group
III.

• Approximately INR 1,55,000 worth coverage without payment of extra premium.

Example: coverage for purchase of blood, transportation expense of imported
medicine, ambulance expense, travel expense for a relative of the insured and
education grant.

• Worldwide coverage.

• Family discount of 10% is applicable in this health insurance plan.

• No-claim bonus equal to 5% of the sum insured up to a maximum of 50% of sum

insured on Death and Permanent Total Disability.

• Option to opt for add-on benefits.

Scope of cover

This plan is available for employed individuals of between age 18 years to 70 years. The
family plan is available for insured, lawful spouse between age 18 years to 70 years and a
maximum of 2 dependent children between age 5 months to 25 years.

Note: The policy is lifetime renewable.

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Sum insured values

The Accident Care plan by Star Health and Allied Health Insurance offers coverage from
INR 1,00,000 onwards in multiples of 1,00,000 up to the limit specified below:

The sum insured limit for family of insured are as follows:

Non-earning Spouse would be covered up to – 50 % of the Sum Insured of the proposer up

to a maximum of INR 5,00,000. Dependent Child would be covered up to – 25% of the Sum
Insured of the proposer up to a maximum of INR 5,00,000. Policy Periods available – 1
year, 2 years and 3 years.

Risk Group Classifications

Risk Group I

Persons engaged primarily in Administrative functions

Risk Group II

Persons engaged in manual work

Risk Group III

Working in explosives industry, mine and / or magazine workers, high tension supply, horse
racing including jockeys, athletes and occupations of similar hazard.

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 Benefits offered in this plan

The Accident Care policy offered by Star Health and Allied Insurance offers benefits like:

• ACCIDENTAL DEATH –Death due to accident within 12 calendar months after

accident are covered up to 100% of sum insured.

• PERMANENT TOTAL DISABILITY – This benefit is available only for

individuals covered under Table B and Table C of this policy. Under this benefit, an
injury resulting in permanent disability within 12 months after an accident is covered
in the range of 50 to 150% of sum insured, depending on the part of the body
affected. Example- Loss of both the eyes, hands, etc. in or after an accident.

• PERMANENT PARTIAL DISABILITY – This benefit is available only for

individuals covered under Table B and Table C of this policy. Under this benefit,
accident resulting in loss of a part, causing partial disability and which occurs within
12 months from the date of accident is covered. Example loss of one hand, one leg,
all the toes, etc. is covered. A compensation in the range of 2% to 75 % of sum
insured depending on the part of body affected is provided in such cases.

• TEMPORARY TOTAL DISABILITY –This benefit is available only for

individuals covered under Table C of this policy. Under this benefit, an injury
resulting from accident which has affects the work life and which occurs within 12
months from the date of accident, is covered. In such case, a compensation equal to
1% of sum insured up to maximum of INR 15,000 per week for a maximum of 100
weeks is provided. However, please note that the compensation paid is only on
weekly basis.

Value added benefit

Some of the additional benefits offered in the Accident Care policy by Star Health and
Allied Insurance are:

Coverage for expenses on purchase of Blood –This benefit is available for

Individuals covered under Table A, Table B and Table C. Under this benefit coverage for
expenses on purchase of blood from an approved blood bank or recognized hospital is provided.

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On submission of the original receipt and other documents required, a benefit equal to 5% of
the sum insured up to a maximum of INR 10,000 is provided.

• Coverage for expense on transportation of Imported Medicines –This benefit is

available for individuals covered under Table A, Table B and Table C. Under this
benefit, expenses towards bulk transportation of imported medicine required for
surgery or medical treatment are covered. The expenses equal to 5% of sum insured
up to a maximum of INR 20,000 are covered.

• Coverage for expenses on vehicle or Residence modification –This benefit is

applicable for individuals who make valid claim for permanent total disability.
Under this benefit, the expenses on modification of vehicle or residence in a way to
help disabled insured are covered. Expenses equal to 10% of Sum insured up to a
maximum of INR 50,000 are covered. This benefit is available only for individuals
covered under Table B and Table C. Note: This benefit is applicable only for claims
in India.

• Coverage for expenses on travel of a relative of deceased insured –This benefit is

applicable for individuals covered under Table A, Table B and Table C of this
policy. The benefit can be availed by insured individual’s spouse, children, parents,
siblings or in-laws for any accident outside insured individual’s residence. On
submission of original proof of expenses, compensation equal to 1% of the sum
insured up to a maximum of INR 50,000 id provided. Note: This benefit is
applicable only for death claims under this policy.

• Coverage for expenses on transportation to the hospital or morgue –This benefit

is applicable for individuals covered under Table A, Table B and Table C. Under this
benefit cost of transportation to the hospital or morgue is covered up to a maximum
of INR 5000.

• Education Grant –This benefit is applicable for claims under death or permanent
total disability. Under this benefit a maximum of two of the deceased insured’s

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 children under age 18 years would get compensation INR 10,000 per head for
coverage of educational expenses.

Add-on covers

The Accident Care policy by Star Health and Allied insurance gives you an option to opt for
some add-on benefits on payment of extra premium. The add-on benefits provided are:

• Hospital daily cash – This benefit is available in case of hospitalization due to an

accident within 30 days after its occurrence. Under this benefit, daily cash up to INR
1000 per day for a maximum of 15 days (except the date of admission and date of
discharge) are provided. This benefit can be availed for a maximum of 60 days per
policy period.

• Home convalescence –With this benefit the insured would get coverage for
expenses on engaging an attendant at his/her residence up on advice of physician.
Under this benefit, INR 500 per day would be paid for a maximum of 15 days. This
benefit could be availed for a maximum of 60 days per policy period. Note: This
benefit is valid only after

• Hospital expense extension –With this add-on benefit the insured would get
coverage for in-patient/ out-patient expenses after valid claim for death/ permanent
total disability/ permanent partial disability/ temporary total disability resulting from
an accident. Under this benefit medical expenses up to 25% of valid claim or 10% of
sum insured under Table A, Table B or Table C or actual expenses or INR 5,00,000
(whichever would be applicable) is provided.

• Winter Sports Cover –With this add-on cover the insured can get coverage for
death/ permanent total disability/ permanent partial disability or temporary total
disability due to an accident while participating in any winter sport. This benefit can
be availed anytime during the policy period.

Exclusions

Some of the major exclusions under a personal accident plan are:

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 • War or terrorism related injuries.
• Self- injury or suicide.
• Pre-existing injury or disability.

DIABETES SAFE INSURANCE POLICY

Diabetes Safe Insurance Policy offered by Star Health Insurance is a specialized plan for
persons who are diabetic, both Type 1 and Type 2. Designed to cover diabetes and related
ailment, the policy bears the costs incurred during regular hospitalization due to any
complications arising out of diabetes. The policy provides coverage for both Type 1 (also
known as Juvenile Diabetes) and Type 2, with plenty of other features. The policy can be
bought on individual or floater basis. Further, the Star Health Diabetes Safe Insurance
Policy comes in two variants of Plan A and Plan B. Under the Plan A variant, the insured
person needs to undergo a pre-acceptance medical screening. The coverage comes into
effect immediately after the policy is issued. No waiting period exists for any diabetes or
related complication. Under Plan B, no pre-acceptance medical screening is required.
However, a waiting period of 12 months exists from the commencement of the plan.

Key inclusions and exclusions of the plan

What's Included

• Compensation for the accidental death of the chosen insured person

• Cost of artificial limbs due to amputation up to specified limits

• Coverage for outpatient expenses, such as medical consultation, diagnostic tests up to

specified limits

• Dialysis expenses at Rs.1000 per sitting up to 24 months

• Cover for hospitalization expenses (room, nursing, anesthetist, surgeons fees, drugs,
and medicines) due to complications of diabetes

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 • Hospitalization expenses for other than complications of diabetes

What is Not Included

• Aesthetic or cosmetic treatment and the treatment for erectile dysfunctions

• Diseases caused by drugs/alcohol, substance abuse, smoking, or tobacco chewing

• All expenses incurred in the treatment of HIV or AIDS and related ailments

• Diabetic nephropathy and diabetic retinopathy, causing chronic renal failure & diabetic
foot ulcer

• Convalescence, general debility, run-down condition, nutritional deficiency state

• Dental surgery or treatment unless necessitated owing to accidental injuries and

hospitalization requirement.

STAR HEALTH INSURANCE CANCER CARE GOLD (PILOT PRODUCT)

Cancer Care Gold (pilot product) from Star Health is the first ever product of health
insurance for people diagnosed with cancer. The policy is designed to cover the risk for
recurrence or spreading of cancer (metastasis) or second cancer (second malignancy) that is
not related to the first cancer. It was launched on a test basis for a duration of 5 years and
gained vast popularity. Under this plan, the cover is offered for self, spouse, dependent
children and dependent parents.

The policy offers its policyholders many benefits. It provides a lump sum amount on the
basis of sum assured in case of recurrence, second cancer unrelated to first cancer or
metastasis. The policyholders also get the benefit of indemnity cover for surgical and
interventional therapy as well as non-surgical and non-interventional therapy depending on
the sum insured opted for.

Key inclusions and exclusions of the plan

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What is Included

• Room rent for single standard AC room, boarding, nursing charges in the indemnity
cover

• Fees of surgeon, medical practitioner, anesthetist, consultants are included

• Anesthesia, blood, oxygen, operation theatre charges, cost of pacemaker, etc. are
included

• All daycare treatments are included

• Post-hospitalization medical expenses for a maximum of 60 days after discharge

• Pre-hospitalization medical expenses (maximum of 30 days before hospitalization)

What is Not Included

• Coverage for substance abuse, self-inflicted injuries, STDs and HIV/AIDS is excluded
from the policy

• Any kind of surcharge, service charge, registration fees levied by the hospital or
admission fees is excluded

• Pregnancy, infertility are excluded from the coverage benefits

• Treatment outside India remains excluded from the policy

• Any hospital admission primarily for the purpose of investigation

Tax benefits

The Income Tax Act 1961 regarded health insurance as an important investment and hence
you can enjoy tax deductions under Section 80D of the Act. According to this section,
deductions are offered towards policies on self, spouse and children and also towards non-
senior citizen parents and towards senior citizen parents provided, the premium is paid in
any mode other than cash.

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 CHAPTER IV

LEARNING EXPERIENCE

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The intern did the internship program in Star Health and Allied insurance co. ltd, Velachery
branch for a month from 2nd December, 2019 to 31st December 2019.

Week 1 (2.12.19 – 6.12.19)

On the first day of Internship the intern reported to the underwriting head of Star Health,
Velachery, who guided the intern throughout the internship period. The intern was given an
introduction about the company, its objectives, mission, vision, special features, target,
achievements and information about the company’s capital structure, revenue and its growth
by the human resource trainer of the branch.

The next day the intern was educated about the various products provided by Star Health, its
features, benefits and applicability and tax benefits. The intern was instructed to record
renewal notice details of existing policies, classify policy deeds according to the respective
agents and mailing it to them, valuating revenue stamps and tallying them with the available
records. The intern was also given a brief introduction on underwriting process.

Week 2 (9.12.19 – 13.12.19)

The second week started with calling prospective sales agents’ candidates for preliminary
screening. The intern was also asked to classify policy deeds year wise and on the basis of
expiry period. The underwriting head gave a detailed explanation to the underwriting
process and allowed to observe their job functions. The Human Resource Trainer also gave
a lecture on why insurance business is beneficial to be undertaken and explained various
career aspects.

Week 3 (16.12.19 – 21.12.19)

During the third week, the intern was taught about Bank Reconciliation statement. Firstly,
the intern was instructed to compile Bank Reconciliation Statement for the transactions that

62
took place in the month of April, 2019, after a detailed explanation on the possible
differences which would appear between the collection report and the bank passbook.

Then, for the next three days the intern continued doing Bank Reconciliation Statement for
the next three months. The last two days of the week the intern was assigned to visit
network hospitals to assist them with claims.

Week 4 (23.12.19 – 28.12.19)

The Bank Reconciliation Statement of the months august, September, October and
November of 2019 was prepared by the intern in the fourth week of internship. Corrections
pointed out in the bank reconciliation statements prepared during the previous week were
also made.

Week 5 (30.12.19 – 31.12.19)

The last two working days of the fifth week the intern was made to stick revenue stamps for
ever policy deed receipts wherein the premium amount collected exceeded Rs.5000 and
tallying the number of such receipts with the entry books, recording the policy deeds mailed
in the outward policy register and classifying and dispatching the new membership cards to
the policyholders who applied for the insurance products.

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 CHAPTER V
CONSOLIDATION OF REPORTS

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 FORM 2

Student’s Evaluation of Internship Experience

Student Name: Emisha.B.S ID:1701721036109 Class: III B.COM-B

Name and Address of Interning Company

STAR HEALTH AND ALLIED INSURANCE CO. LIMITED,

NO.108, 1ST Floor, Gandhi Salai,

Velachery,

Chennai-600042

Brief Description of Duties and Projects

The intern performed activities such as recording details of renewal notices, valuation of
revenue stamps, bank reconciliation statements, underwriting of policies, classification of
deeds .

In what ways did your B.Com program prepare you for this work experience?

The B.com program helped the intern to understand the workings of the firm easily and to
assist the employees with crucial jobs such as preparing bank reconciliation statement.

What did you learn during the internship experience?

The intern learnt how to apply theoretical concepts in practice. The intern also learnt to
coordinate the work of fellow team members to complete the work effectively and
efficiently. Time management to achieve targets was another area where the intern was able
to learn through experience.

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 What did you enjoy most about the internship (from both the personal and professional
perspectives)?

The intern thoroughly learnt how the corporate culture works and to adapt easily to the
same. The intern experienced the joy of personally witnessing how his theoretical
knowledge had helped the firm in practice to complete the work given easily.

What did you find most difficult about the experience (from both the personal and
professional perspectives)?

The intern ,initially , wasn’t aware of how the firm works and had troubles with adapting to
their work structure. However, with proper guidance from the incharge person,the intern
was soon able to handle the problem effectively.

Would you pursue a permanent position with this firm? Why?

The area of work which was assigned to the intern was quite a promising career. However,
since the intern's passion is towards exploring various aspects of his career, the intern
maynot wish for a permanent position with the firm.

Overall Comments and Recommendations

Overall, the Star health and allied insurance co. ltd is a great place to learn and grow
professionally and personally since proper guidance and support is abundantly provided by
the branch .

Signatures:

Student : Emisha.B.S Date:

Faculty Internship Advisor : Mrs.Shiny Isaac Date:

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CHAPTER VI

CONCLUSION

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With cooperation and help from the branch manager and the employees the intern was able
to learn and experience many new concepts relating to finance and insurance sector.
Needless to say, the technical aspects of the work the intern has done are not flawless and
could be improved further. This internship helped the intern to gain practical knowledge
about how a corporate works. The internship also helped to find out what the intern’s
strengths and weaknesses are. It has clearly portrayed the level of skills the intern holds and
what more is required to be successful in the corporate world. Every day of the internship
period taught the intern to become a responsible and innovative person to become the best
in the field. Along this period the intern has realized that observation is the key to analyze
the clients’ need and find out the root cause of a problem. The Intern also learnt how
individual goals are efficiently directed towards achievement of organizational objectives.
This internship program has taught the intern all necessary skills and has improved the
existing skills to perfection which is very useful for all future endeavors.

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 BIBLIOGRAPHY

• https://www.starhealth.in/

• https://cleartax.in/s/insurance

• https://www.britannica.com/topic/insurance/Historical-development-of-insurance

• https://www.irdai.gov.in/ADMINCMS/cms/NormalData_Layout.aspx?page=PageNo4&
mid=2

• Star Health Insurance pamphlets

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