Life Insurance Companies

Life insurance refers to an agreement between an individual and an insurance company under which the latter promises to provide a sum assured (death benefit) to the family of the insured in the misfortunate event of sudden death.

In case of no death, a sum assured known as the maturity benefit is provided at the time of maturity of the policy. Some insurance companies also offer optional coverage for critical illnesses. Currently, there are 24 insurance companies that offer life insurance plans in India.

Best Life Insurance Companies in India

Following is the list of best life insurance companies in India:

Life Insurance Company

Claim Settlement Ratio 2019-20

Max Life Insurance

99.22%

HDFC Life Insurance

99.07%

Tata AIA Life Insurance

99.06%

Pramerica Life Insurance

98.42%

Exide Life Insurance

98.15%

Reliance Life Insurance

98.12%

Canara Hsbc Life Insurance

98.12%

Bajaj Allianz Life Insurance

98.02%

Aegon Life Insurance

98.01%

ICICI Prudential Life Insurance

97.84%

Aditya Birla Sun Life Insurance

97.54%

Aviva India Life Insurance

97.53%

Bharti Axa Life Insurance

97.35%

PNB MetLife Insurance

97.18%

Daiichi Life Insurance

96.96%

Life Insurance Corporation India (LIC)

96.69%

Indiafirst Life Insurance

96.65%

Ageas Federal Life Insurance

96.47%

Kotak Life Insurance

96.38%

Future Generali Life Insurance

95.28%

SBI Life Insurance

94.52%

Shriram Life Insurance

91.61%

Sahara India Life Insurance

89.45%

Edelweiss Tokio Life Insurance

83.44%

(Source: IRDAI Annual Report - Claim Settlement Ratio for the year 2019-20)

How To Choose The Correct Life Insurance Company In India?

It is important to pick an insurance plan that fulfills an individual’s insurance requirements as well as fits in the budget. However, one should not be influenced by low premiums while buying the insurance plan he/she should thoroughly research the insurance company and must identify their insurance requirements before buying a life insurance plan.

There are a lot of life insurance companies to opt for here are some factors you should consider before choosing a particular insurance company:

1. Claim Settlement Ratio: The Claim Settlement Ratio or CSR of an insurance company depicts its effectiveness and reliability. The claim settlement ratio of an insurance company represents the number of claims settled in the financial year against the total number of claims. This ratio helps in finding out the activeness of an insurance company in terms of claim settlement. The high claim settlement ratio of the insurance company depicts the dedication of the insurance company in terms of claim settlement. This represents the loyalty of the insurance company towards its customers. An insurance company’s claim settlement ratio is reviewed by the Insurance Regulatory and Development Authority (IRDA).

2. Customer Care Service: Customer Care Service is an important factor to be considered while purchasing an insurance plan. A person should always choose an insurance company that provides good quality customer care service. While purchasing a life insurance policy, a customer should always keep in mind that there is the availability of 24x7 customer care service to resolve all of their queries and provide assistance when needed.

3. Availability of Riders: Life Insurance Riders are additional benefits that an insurance company offers at the time of purchasing the life insurance plans. They are purchased with the plan increasing the premium and they enhance the life cover as well. A person should always ensure the insurance company offers riders or offer an option to add riders to the insurance policy. Some of the common riders offered by the insurance companies are Critical Illness Rider, Accidental Death Benefit Rider, Accidental Total or Permanent Disability Rider, and Waiver of Premium Rider. With these optional additional riders being offered a person can make better decisions by choosing the best plan and rider offered with it.

4. Persistency Ratio of the Company: The persistency ratio of the company depicts the number of policyholders who have renewed their life insurance policy with the same insurance company. It is the ratio of the total number of policyholders to the number of policyholders who renewed their policies. The persistency ratio of the company represents the satisfaction of the consumers with the insurance provider. An insurance company’s persistency ratio is kept under observation by the Insurance Regulatory and Development Authority (IRDA).

5. Feedbacks and Reviews: Generally an applicant does not pay attention to the feedback and reviews that an insurance company receives from the consumers. One should always go through the feedback/reviews of the company and look out for the complaints/bad reviews. This should give the applicant an idea of which insurance company is better than others and if the insurance company should be opted for or not.

Term Life Insurance Premium Calculator

Gender

  • Male
  • Female

Date of Birth

Do you smoke or chew tobacco?

  • Yes
  • No

Choose required coverage to secure your family’s future

50L
1Cr
1.5Cr
2Cr
5Cr
Disclaimer :
1. Premium has been calculated for coverage till 70 years
2. Eligibility depends on income, occupation and educational qualification

FAQ About Life Insurance Companies

  • How many life insurance companies are there in India?

    Currently, there are 24 life insurance companies in India which are authorised by the IRDAI for selling life insurance plans.

  • Which are the top life insurance companies?

    Based on the Claim Settlement Ratio (CSR) for the financial year 2019-20, the top life insurance companies are Max Life Insurance, HDFC Life Insurance, Tata AIA Life Insurance, Pramerica Life Insurance and Exide Life Insurance. 

  • Why should I buy life insurance from an insurance company?

    The life insurance policy takes care of the financial stability of the policyholder’s family in case of his or her death. You should go for this insurance policy to ensure your loved ones do not experience any financial crisis in your absence. 

  • Which company provides the most affordable life insurance policy?

    The cost of a life insurance policy depends on the type of insurance plan you have opted for. Also, the premium of policy effects due to several factors such as the sum insured, age, and policy coverage, and so on. Hence, you should get in touch with the life insurance company to get the cost of life insurance.

  • Do life insurance companies sell policies online?

    Yes, the life insurance companies provide life insurance plans online as well as offline.