Rating & Premium of Insurance community Health Defination and Meaning

Rating & Premium of Insurance community Health Defination and Meaning

Welcome back to the practice of general insurance class chapter 7 deals with rating in premium underwriting auto accept and decide irritant and how this to be transferred to not have heavy financial impact on the company.

See how pricing is worked out tension factors which affect the pricing coding system types of market in insurance the practice of premium rates before video of the insurance act very important section for general use for all insurance companies in India.

Rating & Premium of Insurance community Health Defination and Meaning

When we look at pricing mechanism RTO premium what is pure premium actual losses paid by the insurance company over the years based on the number of policies issued against the total amount of claim state experience certificate see who is known as the annual average annual loss experience of the pro premium difference the minimum amount of semen that need to be charged by an insurance company to ensure that it is caused by how to run in insurance company and to manage these funds and to manage project insurance company has incurred management expenses.

They have to set up staff we have to have full system in clay usually include salaries and hold office expenses like printing stationery except telephone and all communication expenses added to the average cost already passed out this is to be sold in the market for customer Jansen intermediate and volt and for cleaning business they have to be paid courses intermediary cause that is of agents brokers corporate agent banc assurance react Ada Commission for the business place and this has to be added to the price of female for workout advantage insurance company in CA in the process of default value lost was the actual free amount has been paid would be the appointment of severe investigator other office expenses of special expenses that have been incurred to settlement of the Lost expenses for always be kept within a reasonable amount.

It can happen that in spite of the best referred them maybe expenses incurred for example 24 that it is genuine the earth explain and not a fraudulent or a claim that and a customer is fine to import insurance company mein. An investigator take over all user interface to get has to go ABP costs involved investigator make bill for this in addition wires may have to be appointed or legal opinion has to be taken for a special is has to be called in to check and verify whether this is admissible and to what extent some technical background on Knowledge all of these become part of Clans expenses read this all factors that have to be in product to arrive at what insurance company will send call to book rate of the rate recharge in brief for how to practice of a premium is bicep workout the book read theory Ishwari require large numbers the larger the number is divided the risk of every group remote we couldn't call matebook Re wapking premium International insurance companies in the business of insurance.

It is obviously in that make come profit I have to also be looked at health companies don't make profit out of the business then why would an investor want to come into inch component also includes in many of the expense office and other expenses in which country all of these expenses are part of the female component anantpura company export business from x axis project where the value is way way beyond in financial capacity example of a person earning a salary of 4000 mm life insurance policy for 1 crore very annual premium Telugu gentleman afford to pay premium of 2 lakh salary income 4000 it is beyond the cuff on protein molecule apply to an insurance company and insurance company having a capital of 100 crores info for address of it would single loss record the insurance company would go bankrupt is 2 degree 3 small amount for that we do not take to Lazarus part of it they will transfer ensure that not impacted financially to a great extent so they can continue to incorporate in the market RTA TS regulatory authority to make so that insurance Surveen current cost is Insurance Company answering some of the risk they have to pay premium to the Rain insurance company that is accepting the track of Business.

That cause have to be added on commission paid to intermediaries commissions of a part of cost and pure risk of your premium V failure based on head full of experience all of these components go to work first the basis of the book rate Nickel price formulas teaser today with information technology we can collect a lot of data and paste on that we can have very very fine day all data is collected properly technical price advertising premium on the basis of first principle pre release of statistical data for the more detail your data that is available with your company car insurance company is the more better it is for then to work out the way CO2 is completely that today with information technology to workout show all types of data food food arrived at Acropolis effect of Technical pricing 80% assessment statistical data data that is available with an insurance company sample of Health Insurance all of you would be familiar with health insurance you see that premium car charge based on an age pant different age band have different way how to arrive at book simple way what would an insurance company have done they would have collected by data of male female different parts of the country.

What types of respect come across income levels what are their weight age height weight for medical history the individual data is captured and based on that individual data what claim Prabhakar which areas of India play highest paying medical, greater what type of hospital all the use of statistical data being obtained beautiful company will have a centimetre statistical data wait for the entire country low so we look like data which is available in the market in the past tariff Advisory Committee used recall proteins and premium and various types of policies issued under all the tariff policy send detail data about all policies that can understand write the Roop Advisory Committee would be able opium rate I get historical data and then they give us the tariff rates committee now not functioning but only as a data repository football happens if statistical data has to be forward to the insurance company to the ID and where did collect statistical data to workout and provide with to all the insurance companies so that they work out a day can look at that data and work out the individual programs to some extent how is the process done what will happen now I had a given statistical data of the entire insurance industry in India and The fire And The Marine life Marine old memory file Marine cargo motor ODI in Rohtak ki season 2 part and we see various how much is the premium how much is the same to you what you in the pattern and Insurance Company look that when they get premium and to clean the experience is similar to this National data or is it different from when there is a difference why is the difference it could be because of writing practice it could be because there's a will there is the difference is a loss making Motors losses and obviously some problems on underwriting white substance of this cannot be careful wave pattern Amazon Tupac and modelling and that is for delay explain what long tail world longest first part that will come to outside liability insurance current news on the plane which will go to the coast poplock to decide admissible or not.

The court will decide the amount of compensation look and motor third party in 2010 the third party is claiming today in 2013 insurance policy is already over the next 30 or any of the policy for the insurance companies the test just getting information about the extent of the Lost certificate by the person injured sometimes it can go even 28 10 years before the claim comes up companies have to provide for online Delhi licence district many years course taken decision they don't take a decision overnight it takes years the Representation from both sides the plaintiff and defendant and thereafter a decision taken so that cute Court cases can go to 5 to 7 years of baby should I have to provide for that one Insurance Company amount of light Ooty to Munnar causes and mitigation for life became a long tail should not come to the knowledge immediately Yadav status and insurance company made for provision that means they keep aside obtained from the premiums was Gross Anatomy and is not kept RTO office it is kept in the bank but not in an ordinary current account it will be invested in various which has committed by the law Sona ringtone revenue generated from that money and those resolve income been and has also to be adjusted for the loss indirectly in insurance company from the Reserve return they will reduce the provisioning in that made the third element that will come into pattern modelling is Catastrophe.

We have observed now of late in the last 3 years we have had measure measures of cyclone losses Tera major earthquake and its insurance companies are impacted by that whether I have to pay loss on a large scale in 2006 who don't even if they are having been more frequently and insurance company has to provide in the first we rarely heard of earthquake earthquake food after baby 18 29 years now we find the speed for taking place regularly all across the world and also property damages are taking place family planning is happening to talk about me talk about climate change all of these are having and having a impact on insurance and losses of catastrophe I am also to be provided for so data insurance companies will work out how much km shopping page 10 to 20 show the actual loss experience versus exposure is $9,000 inspiring various factory when my total exposure is running in 2016 for migraine experience is only 15% how much this week I am installing how much Asus I am in sorry and how much planes I pay anomaly expense for an insurance company is equal to the title of experience of the total claim payout is what insurance company will look at as against what is the business day has inspired motor third party is a loss making XP who is the Lok Sabha more than that Pooja because of motor third party two wheeler insurance companies have to look at for the improvement on their underwriting practices or trying to reduce the losses a pattern or mathematical formula of some models will be created Insurance Company within workout summary historical data difficult data in a crystal what is the future 2 out of the world from agricultural and manufacturing process industry single home looking at our software and because the reception workout a new model kattupakkam.

Indian defence industry manufacturing is reducing pickle data of manufacturing is no now is no longer acceptable for the future because we are not looking at intellectual part riding future some levels have changed people's food habits exchange all these are impacting of in the future for today what happen Altaf Zia not water pure what is the normal typhoid is a not normal claim Anita Clinton health insurance and outcoming for people who have the heart problems diabetes hypertension for Lifestyle diseases has failed so we have to provide future that things are changing how to provide for that workout based on statistical data and look at thinker and that is how we workout at technical pricing so this room follow the flight of Google now look at what are the trend impacting our memory all of you have felt impact of inflation you are feeling it today normal day to day necessities would be 20 rupees a kilo today you think of hundred rupees types of inflation has inflation is not at all consistent it depending on demand and supply inflation is working so we have to even provide for that what to do if we have what type of inflation indexation should we give for the trapezium has to be worked out insurance for all of us and so we have to look at the Navy government policy Kathak which vehicle is better or which increases the risk it all depends on the circumstances so sometimes cause may result in social also sometimes blog maybe result in better of 40 all of these impact we have to provide for the two in a rating process has made me to change today weekend ritual in so many places here who was the for classroom so many of you across the country Africa are also tuned into the sky because of Technology knowledge it and robotics.

I also makes it possible for providing form manual errors losses in human element is involved weight loss to take place because of human negligence human deficiency juice machines are doing most of the things I will give you what you want programming guide me if you have any effect to another element because of Technology safety measures greater safety measures can be taken television you have closed watching TV you have burglary alarm system always help in mitigation of Samridhi also have increase of the types of bridge proposal reducing sometimes it is increasing battery in motor third party motor insurance injuries to person Republican injured pedestrian on the road siddiqa all extra cost solutions company provide Chrome any offer want to show that we have arrived in society we can have the best furniture and interior decorations for home so what happened today style so you will find at each stage as your income growth after every customers looking too so that they are better than the rest we want to show that we have arrived in society when everybody is fine the same thing then there is no fun today in in cell phones iPhone and now you find everyone has a tablet so very good for commodity everyone holding it is my pleasure.

I want to be different that element that every human being want to show you are better than the rest that also has an impact on what you find me in the past or present water and that believe that will be for the rest of the life they will use the car today you and I don't look at it that way you look that after 3 years old go for the latest model and the next after 3 years how do we do it standard look at BMW when you don't have to show that all part of Sun which affects our insurance would you like to be seen in an Ambassador car hey you see the changes that have taken place impact global warming setting of Storms are getting you from the getting more severe heat getting more hai it is getting hot everywhere all of us need a condition today you can't do without air conditioning system even in a small little home a simple air conditioner will be brought it took to live because short circuit level pure fire and will find that describe there is where we meet insurance climate change upcoming global warming is coming economic changes are taking place also income levels are growing we can a photo family members are working looking to better than serve so what happens you new generation new items to be provided for insurance company knows how to forget the old have to see you and how it will affect us because we have to pay the loss if you went for the events that occur Vinu Mohan emission Technology has helped us to do this music for example third party administrators are found.

Only in medical insurance IPO premium introduced third party in medical insurance one is that the premium and the exposure is in Olympics India direct income Automotive pre Health Insurance is the nature of premium portfolio of an insurance company Scotland play it becomes easier for extract all the types of lochia pain and detailed things of each and every ecosystem can be played what is happening today sex detail that weekend workout lock happening so how many Bypass surgery for taking place of the total what is the cost involved is the price in sure to exercise is aircraft cities what are the standard Freecharge we have an idea how frequent insurance companies can work out specific rate of output in some clothes for example in medical insurance satellite of previously it was no to whatever is your bill Insurance Company paid for the cataract surgery today they say we capital capital not more than 25000 or not more than 50000 for internet premium Villa to Goa you rather than increasing premium to hide input chat.

So that it will it will control the lost supremum data also can be worked out age base individual ages and all the spaces commentator we can work out exposure mathematical formulas there you see Analytics every type of fibre industry manufacturing process in ID International Labour Organisation ringtone from coding system following this can be called as the National industrial classification which is similar to standard industrial classifications of USA and Europe should be the practices that are being followed across the world and we are trying to arrive at standardization of data for that final race and much more you not have a standard rate across everybody you have to pay be done because of analytics because of Information Technology standard practices insurance companies following commemorating the for the technical rating.

Twin Falls companies follow the concept of planning Edwin burning cost last 5 years playing experience of that category ok average of pre workout last 5 years average Polytechnical friends from this now we have all of the people look at look at how much insurance we have place dose of fabric for 5 years sweet corn that we adjust proclaim LED works Vivah average by the average exposure today's premium rate limit adjustment whether they are similar or different what are discontinued features changing the year for some features between existence before good continue people will no longer impact in the future in that case we have to reduce or losses based on the secret features no longer things that are common and how much are the losses similarly earlier we may have not in for them in the past simple example fire insurance most client would take a basic fire insurance coverage of iron like me 281.

The coastal regions that affect cyclone wind and storm perils extension will take according to watch this iPhone policy which has all the features in feet parking covered on outing cover for everyone could be filing a came for this law to switch off not to cases but what is the problem that is burning cost method it is a prospective you are looking at you are not looking at future Freecharge given Idea internet not remain continuously 54 future that is white how good is burning of adjustment get me running information of K availability of two types poclain made in the last month of a part of the financial year may be settled in the next financial year baby the following project what's the difference between what was the way provided Coimbatore Senthil may be less or maybe more so that also infact think of the time when the company would make maybe 1000 pieces of eight item today with technology important element is explain with an insurance company for you how can the insurance company get the records of Theseus recovered from another insurance not possible today have to work out some thought open provision last minute happen every time in India.

Now would be the same next it may not happen total after that does not show last minute impact so we have to provide for that Calvin Klein to provision of outstanding claims the activity of The Reserve very very difficult because it is going on historical vehicle construction you know building construction have changed from one hand mode homefront stone and brick and how going to live ICC to do the major changes even public debt insurance companies that offer today arrival of different from what it was the first meeting we are moving from my Subway manufacturers have become less we are looking now corporate offices and Insurance of offices and technological equipments very rare and unique the factories are there in available it is a process in her unit small little unit where processing is done everybody is to Outsourcing to the research Mela you would not have factory today of Hindustan Lever which is manufacture everything within a phone factory is today is output a lot of the work so all of these have an impact because now the rest is become smaller property insurance for labour cause of outsourcing but it may be greater because an outsourcer may not take as much care about his property with different improvement and changes lauda making a number of things compulsory Sachin special features to introduce categories also have to be provided for NHS peacock the most important call is not suitable for small part number so that we can work out intelligent from the transport properties to be insured of a particular process call Surya looking at credit across the largest submarine cost suitable when we have large numbers if you are working in the insurance industry in operations have make sure your statistical data you feeling correct program that will make your company profitable and preview benefits you are the benefits of Bonus and only if you win as much data to your organisation so that the organisation can be competition in the market we have two types of markets of Markets and Markets stock market is bend insurance companies have got a lot of capacity there willing to take on any risk willing to reduce the premium mattress willing to take on some more it is this is the time.

When you can get more premium expand your market bring a new customers at a time of a stock market today's menu of insurance companies all of them has capacity and their billing system and we try to compete with each other the lower rate ring Nokia means more reserving can be provided more investment and the results of an insurance company will improve so they will achieve their profit stations of the stock market price cutting Crysis 2 solo that at some point of time the price for this follow it will be more than the rest and toxicity into the lock with compass and sustainable letter to come period of time the losses will exceed the premium receipt health insurance for all lost making business undercutting and premium rates upon solo because of tariff insurance companies head subsidizing of fire insurance exercise at the bottom it is not possible so what is happening stock market means at some stage lighting will take place and sustainable lawrenceville comment entry process and then will be moving show decide to change our market now the premium Rises insurance companies reduce the cover why because they know that where is awesome property of the fixed asset problem risk and insurance companies put more and more conditions in the policy commercial price good client in your office on discount otherwise they will waste premium reduced covers for additional conditions all these are part of our heart market spectacles industry in India for general insurance premium rates in fire insurance.

I usually usually at a familiar rate for minimum 1000 upcoming short fight in two different types of trade different types of pro applications various categories of risk will have different Re China Muslim percent on the insurance value whatever is the value taken for insurance on that a premium rate percent will be charged motor insurance again is the percent rate on the value of the vehicle class type and zones are taken into account in engineering the rates are always come in 8000 of the value for what insurance percentage rate of EPF per capita that is per person rate for different types of writs depending on the types of policies difference when we deal with insurance premium and waiting we must not forget the very important section of the insurance act and that you need to India no insurance company can install it without persistence worldwide broker normally would pay the premium and client would be allowed to take after 2 months for 3 months based on agreement between the insurance broker and client but in India we are very specific premium hack ancient Mayan deposit bank guarantee normally given then premium rate cannot be worked out because the selection is required for performing at the reason for bank guarantee is giving the that again has to be the guarantee has to be converted into a check for payment within a month after the guarantee scheme credit card payment.

Also committed can we send 18th pay to receive premium finding on the insurance company provider agent collect the premium the agent much deposits within 24 hours insurance company is not hungry agent cannot be held liable because agent is an intermediary of the insurance company regions that many checkpoint payment received premium they must deposited in the office season 24 hours digitiser for holiday comes in between keep it overnight for too many days problems can arise from is not received by insurance company at a loss takes place in foreign company will not pay taken the client cancels the policy or reduced to the famine refund cannot be given to the agent that has to go directly into the water come today the tendency to direct read it to the clients bank account is a vital element of rating practices how premium is caused out the various types of premium in get the old Gypsy new and how