Star Health to collaborate with foreign insurers for inward reinsurance

The agency force accounts for nearly 80 per cent of the health insurer's overall business

Star Health and Allied Insurance is looking to collaborate with insurers in Africa and West Asia for inward reinsurance opportunities through GIFT City, said Anand Roy, managing director, Star Health and Allied Insurance on Wednesday.

Inward reinsurance is a contract between two insurance companies, where the transferring insurer will act as the reinsurer.

In March 2024, Star Health – the largest standalone health insurance – received approval from IFSCA to establish an IFSC International Office at GIFT City.

“Many customers come to India for treatment. So, we can become an inward reinsurance provider for them as well as a concierge provider for claim services. These are the opportunities that GIFT City provides for us,” Roy said.

 

Roy was speaking at the launch of the company’s first insurance policy in Braille -- Special Care Gold, tailored for individuals with 40 per cent or more disability. 

Roy said Star Health is focused on ensuring democratisation of not just quality health insurance but enabling financial inclusivity by creating sustainable income generation opportunities for the unserved and the marginalised sections of society.

Agency force accounts for nearly 80 per cent of the health insurer’s overall business.

Roy highlighted that the company plans to grow its premium to Rs 18,000 crore in FY25 from Rs 15,000 crore in FY24. The company is targeting premiums to the tune of Rs 30,000 crore by FY28, he said.

Retail health business makes up for 90 per cent of Star Health’s portfolio, and the rest is the group’s health business. In the retail business, the company has increased premiums by nearly 10 to 15 per cent, with revisions due in other select products.

“In a product ‘Young Star’ the company has taken about 10 per cent price revision in July and plans to revise rates in a couple of other products mainly due to surge in medical inflation,” Roy added.