For how many years does New India Charge Loading on Premium after a claim ?

POSTED BY jigneshdesai05 ON March 9, 2013 9:00 am COMMENTS (5)

For how many years does New India Assurance Co. Charge Loading on Premium after a claim on it’s (i) Mediclaim Policy 2007 & (ii) Family Floater Mediclaim Policy 2007 ? It would be even better if you could explain with example .

5 replies on this article “For how many years does New India Charge Loading on Premium after a claim ?”

  1. Dear Jignesh, thanks for the clarifications. Actually due to typo error I could not post my answer clearly.

    Thanks

    Ashal

  2. jigneshdesai05@yahoo.com says:

    Dear Ashal , Inquired with the Development Officer at New India Assurance as well as my agent , loading will be imposed on the premium for 2 years after claim is made . That means if the policy is renewed in June of every year , & a claim is made in July 2013 , the premium amount will be Rs. 8870/- in June 2014 & June 2015 . From June 2016 onwards , premium will again become the normal Rs. 4435/- . (Later it may increase because of the fact that premium amount increases after every 5 years but not because of loading imposition for the July 2013 claim ).

  3. Dear Jignesh, the prem. loading in your given example ‘ll be % so renewal prem. ‘ll be 8870 Rs. It ‘ll remain as it is.

    Thanks

    Ashal

  4. jigneshdesai05@yahoo.com says:

    I have a Health Insurance Policy called ” Mediclaim 2007″ issued from the New India Assurance Co. “Loading” is the extra amount charged over & above your normal premium amount on your Premium after you make a claim & it has been settled by the Insurance Co.

    I downloaded the Policy wordings from the New India Website & read all the terms & conditions of the Policy . Everything is explained quite clearly . For , loading a table is given .The percentage of loading that will be charged will depend on the percentage of claim passed in relation to the sum assued .

    For e.g. , in a particular year , I made a claim of Rs. 2,00,000 & my Sum assured is 2,50,000 . The amount passed as claim is Rs. 1,20,000 . 1,20,000 is between 30 to 50 % of Sum Assured . So, according to the table , 100 percent loading will be imposed on premium . There is no claim before or after this year . New India calculates the average claim experience during 2 policy years .

    So , supposing that the Normal Premium that I pay is Rs. 4435 / p.a. , how will loading be imposed on the premium & for how many years ?

  5. Dear Jignesh, what is the back ground of your query?

    Thanks

    Ashal

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