Reduce Claim Rejection
What counts as fraud vs non-disclosure under Section 45
Non-disclosure and fraud have very different legal standards under Section 45. Courts require proof of knowledge for one and intent to deceive for the other.
15 min read
Founder of Gyansurance.com and CEO at Quantent
Ashok Hegde is the Chief Executive Officer at Quantent, where he leads a team of media professionals helping clients leverage digital media for better business outcomes. With over 30 years of experience across print and digital media, he advises clients on content and media strategy — from startups to established brands. His focus is on helping organisations use online media — social, search, and mobile — to build brand awareness, drive sales, and protect reputation.
33 articles published
Non-disclosure and fraud have very different legal standards under Section 45. Courts require proof of knowledge for one and intent to deceive for the other.
The 3-year contestability clock under Section 45 resets to zero if your policy lapses and is revived. Adding a rider starts a separate clock. Know when your protection begins.
Section 45 bars insurers from questioning your policy after 3 years “on any ground whatsoever.” But does that include fraud? The statute, the court rulings, and the gaps.
59.1% of life insurance court disputes (994 cases) involve non-disclosure of medical history. It is the single most common reason insurers reject death claims. Your policy is most vulnerable in the first 2-3 years. Of 10 court cases with computable dates, 9 deaths occurred within 2 years of buying the policy. After 36 … Read more
49.66% of all private life insurance is sold through banks (FY 2024-25). Half the time you “buy” insurance from a private insurer, a bank employee made the sale. LIC is the opposite: 93.86% through individual agents. LIC’s business model is its 1.3 million agents, not bank partnerships. Online insurance (direct insurer websites + … Read more
4,999 death claims were pending at end of FY 2024-25, up from 458 the year before. LIC accounts for 95.8% of them. Plus, Rs 38.69 crore in death claims went completely uncollected.
The average death claim paid by LIC is ₹2.45 lakh (FY 2024-25). At HDFC Life it’s ₹10.48 lakh. At ICICI Prudential, ₹14.73 lakh. Same event, same country, wildly different payouts. LIC’s low average reflects its product mix: mostly endowment and money-back policies bought decades ago with ₹1-5 lakh sum assured. Private insurers sell … Read more
78 out of 100 Bharti AXA policyholders quit before completing 5 years (FY 2025). At the other end, ICICI Prudential retains 59 out of 100. The insurer you choose determines whether you’ll stay. The steepest drop happens between year 1 and year 2. Industry-wide, roughly 20-30% of policyholders don’t renew after the first … Read more
During COVID’s deadliest year (FY 2021-22), insurers rejected only 1.03% of death claims by count. That’s the lowest rejection rate in seven years. After COVID, rejections climbed to 1.68% in FY 2024-25, the highest rate since at least 2018-19. The industry now rejects 17,333 claims a year, up from 10,069 pre-COVID. By amount, … Read more
LIC handles 84% of all death claims by count but only 62% by amount. Private insurers handle fewer claims but each one is worth 3.2x more on average. Private insurers now have a higher CSR by count (99.17%) than LIC (98.15%) as of FY 2024-25. This flipped in FY 2023-24 after decades of … Read more
Mis-selling doesn’t leave a receipt. But IRDAI data creates a fingerprint: low persistency + high ombudsman complaints + rising grievances = a pattern you should check before buying. If fewer than 50% of an insurer’s policyholders survive to the 5-year mark, something went wrong at the point of sale. At Bharti AXA, only … Read more
IRDAI issued 10 penalty orders totalling ₹10.42 crore in FY 2024-25. Three were against life insurers: HDFC Life (₹2 crore), SBI Life (₹1 crore), and Aegon/Bandhan Life (₹1 crore). HDFC Life was fined for failing to process proposals efficiently, overpaying web aggregators, and unreported outsourcing. SBI Life got the same outsourcing and web … Read more
Term insurance premiums rose 85% between 2020 and April 2026 in two sharp spikes. We break down exact premium increases by insurer and age, and what options remain for buyers after the hike.
Most Indian life insurers accept term insurance applications up to age 65, and several plans push the limit to 70–75. This guide covers age limits, premium costs, tax rules, medical requirements, and claim settlement ratios for seniors above 60 buying term insurance in India.
An ADB rider adds an extra payout to your term plan if you die in an accident. Here is how it works, what it excludes, what it costs across LIC, SBI Life, and ICICI Prudential, and whether it is worth adding to your policy.
A practical financial year end checklist for term insurance policyholders: claim your 80C and 80D deductions correctly, audit your sum assured, and avoid the most common mistakes made when buying a term plan before March 31.
NRIs in the US with a valid Indian passport can buy term insurance from Indian insurers entirely online. This guide covers eligibility (including green card and OCI rules), the step-by-step buying process, NRE vs NRO account strategy for claim repatriation, tax sections 80C, 10(10D) and 194DA, and verified claim settlement ratios from leading insurers.
The waiver of premium rider keeps your term policy alive if you become disabled or critically ill. At 1,000 to 5,000 per year, it costs less than most riders. Here’s when it’s worth adding and when you can skip it.
Controlled hypertension below 140/90 mmHg is routinely accepted for term insurance with 25-100% premium loading. Learn what insurers check, which medications affect underwriting, and how to prepare for your application.
Type 2 diabetics with HbA1c below 7% can get term insurance with 25-50% premium loading. This guide covers insurer-specific HbA1c thresholds, required medical tests, and five strategies to reduce your loaded premium.
Your employer’s group term cover disappears the day you resign. Compare group and personal term insurance on portability, sum assured, premium costs, and tax benefits to decide if you need both.
Pre-existing conditions don’t automatically disqualify you from term insurance. Learn how underwriting works for diabetes, hypertension, thyroid disorders, and other conditions, plus strategies to get accepted at lower premiums.
Bajaj Life (formerly Bajaj Allianz) has a 99.29% CSR, industry-leading solvency of 3.59, and competitive eTouch II pricing. But the 30-day claim settlement rate of 92.45% trails the industry average. This guide covers plans, premiums, strengths, and watch-outs.
Tata AIA has a 99.41% CSR for FY 2024-25 and strong product features including a non-accelerated CI rider and India’s first USD NRI term plan. But post-sales service concerns persist. This guide covers plans, premiums, strengths, and watch-outs.
HDFC Life’s 5 Click 2 Protect term plans compared: Supreme Plus, Supreme, C2P Life, Elite Plus, Ultimate. Side-by-side on premiums, riders, and features.
LIC has five individual term insurance plans. Each targets a different buyer profile. Here is how to compare Digi Term, Yuva Term, Tech Term, Jeevan Amar, and Bima Kavach.
A complete guide to medical tests for term insurance in India. Which tests are required at what age, how to buy term insurance without medical tests, and why full disclosure protects your family.
A pan-India survey of 450 buyers and agents finds that 63% of life insurance customers received less than one hour of explanation before buying multi-year policies, and the same proportion believe their agent prioritised commissions over their needs.
Complete guide to calculating the right term insurance coverage amount in India. Compare 50 lakh vs 1 crore vs 2 crore cover, learn three calculation methods (income multiple, HLV, expense-based), and find your ideal sum assured.
Term insurance gives the highest cover at the lowest cost. We show the math comparing term plans vs endowment and ULIPs, and explain exactly who needs it and how much cover to buy.
Complete guide to term insurance tax benefits: Section 80C premium deductions, 10(10D) tax-free death benefit, 80D rider deductions, and the 2025 GST reform that eliminated GST on individual policies. Includes old vs new regime comparison and real savings calculations.
If you’re reading this from Singapore, Dubai, or New York while worrying about your family back in Mumbai or Bangalore, you’re in the right place. Buying term insurance as an NRI isn’t the same as buying it from your hometown. Different paperwork, different tax angles, different hassles with medical tests and premium payments. But here’s … Read more
Term insurance covers death. But real life throws more at you: cancer diagnoses, accidents that leave you disabled, periods where you can’t work or pay premiums. A base term policy doesn’t address any of that. Riders do. These optional add-ons attach to your base policy and cover specific risks at a fraction of what standalone … Read more