Star Health Insurance to impart Rs 180 cr

Star Health and allied insurance company, the first stand alone health insurer of India promoted three years ago, will see an additional capital combination of Rs 180 crore this year in tune with its healthy growth in business.

Company Chairman and MD, V Jagannathan told media persons in Chennai on Wednesday, the company has increased its share capital to Rs 138 crore from the mandatory Rs 100 crore within two years of operation. Before December end, the promoters will infuse Rs 100 crore and Rs 80 crore before March end 2009.

This year, it notched up Rs 440 crore at the end of September 30 and is targeting to touch Rs 1000 crore by March end. He said the insurer clocked over 200% growth in gross premium written at Rs 510 crore in 2008-09 against Rs 168 crore in the previous year. It reported Rs 5.27 crore a net profit.

We are not thriving only on Government business but equally growing the market business, which is expected to more than double to Rs 225- 250 crore this year from Rs 90 to Rs 100 crore last year Mr Jagannathan said. He said. In the near future, it will enter group insurance segment as part of the extensive growth in premium and profit envisaged.

Within three years of its operation, it has garnered 8.5% of the market share of the Indian health insurance pie. Former Union Finance Secretary, D C Gupta will join the board shortly. The company, which has tied up with over 4000 hospitals, will also increase the network of offices to 200 next year from 150 now covering the entire country.

Mr Jagannathan said insurer has shown the way forward in health insurance by offering meaningful health insurance covers to infinite population. This included the Aarogyasri health insurance scheme in Andhra Pradesh covering 6.5 crore BPL families in 23 districts, Kalaignar’s ( TN CM) life saving treatment insurance scheme in Tamil Nadu to cover five crore poor and marginally poor and four lakh BPL families in Haryana under RSBY.

It has just got the IRDA’s approval to sell a new policy, Star criticare plus insurance, which aims to provide reimbursement of hospitalisation expenses for treating ailments and medical conditions as well as accidental injury and trauma. It will offer a pre- agreed compensation amount if the insured is diagnosed with a major illness noted in the policy, provided the disabling illness is manifesting for the first time in life.