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HDFC ERGO

Posted by Siddharth Roy On Sunday, August 23, 2009

COMPANY PROFILE

HDFC ERGO General Insurance Company Limited is a 74:26 joint venture between HDFC Limited, India’s premier Housing Finance Institution & ERGO International AG, the primary insurance entity of Munich Re Group was incorporated ON February 8, 2002. The ERGO Insurance Group is represented in over 30 countries worldwide, concentrated in the regions of Europe and Asia. International business has become an important mainstay of the ERGO Group in recent years, and is growing strongly.

HDFC ERGO focuses on providing the “Right Insurance Solution” for all. The company offers the customers a complete range of general insurance products ranging from Motor, Health, Travel, Home and Personal Accident in the retail space and customized products like Property, Marine and Liability Insurance in the corporate space.

HDFC ERGO has been expanding its presence across the country and is today present across 46 cities with 52 branch offices with an employee base of over 650 professionals. The company has a right balance of distribution channel comprising of Dealerships, Brokers, Retail and Corporate Agents, Bancassurance and Direct Sales Team. The company before merging with ERGO International AG was previously known as HDFC Chubb General Insurance Company Ltd.

DISTRIBUTION NETWORK

The Company has presence in 28 locations across India. The Company’s retail business was written mainly through tie-ups with agents, vehicle manufacturers and dealers. With an intention to spread the Company’s geographical reach and give a thrust to retail business, the Company plans to strengthen its agency force. The Company is exploring possibilities of leveraging association with group companies for expanding access to desirable segments of the retail and commercial markets.

IN NEWS

27.5.09: HDFC ERGO General Insurance is planning to offer a specialised health insurance product that will cover maternity expenses, dental treatment, contact lenses, glasses, hearing aids, non-allopathic treatment and domiciliary treatment. In a standard health insurance product, such expenses are not covered and are treated as exclusions.

HDFC ERGO General Insurance hopes to cover high-value customers withthe new product. The company plans to offer these benefits as riders attached to a health insurance product. The company has filed rider details with the Insurance Regulatory and Develop-ment Authority (Irda).

The company is working on the premium structure for the cover. “Compared with standard health insurance products, the compnay proposes to offer broader and more responsive coverage desig-ned specifically for high-value customers. The market would soon get to see our composite health product with no limits. In addition to the standard health cover, we would provide a host of riders such as hospital cash, expenses for dental and glasses/hearing aids,” said Ritesh Kumar, managing director, HDFC ERGO General Insurance.

The company has filed for regulatory approval for add-on benefits. Since January 1, 2009, IRDA has allowed general insurance companies to offer tailor-made (add-on) products to its customers and charge them for the extra benefits offered. Introduction of the riders would be a follow up of the relaxation given by the insurance regulator.

HDFC ERGO is looking to launch ‘first-of-its-kind’ products to strengthen its position in the market and to grow despite the economic slowdown. “The insurance industry follows the fortunes of the market.

06.05.09: General insurance companies Royal Sundaram Alliance and Bharti AXA General Insurance will soon be incorporating new parameters for offering discounts on motor insurance covers including the criteria of age, profession and gender of the driver.

The colour and model of the car and performance of the vehicle in the market also attract additional discounts. These parameters will be in addition to the risk perception of the insurer while determining the discount on premium.

Under international practice of such discounting patterns, a higher discount is offered to those in a higher age category. For example, HDFC ERGO General Insurance, offers 5 per cent discount if the age of the insured is between 36 years and 45 years, while a 10 per cent discount is offered for those more than 45 years. Teachers, government employees, doctors and defence personnel get an additional discount of 5 per cent. Insurance companies offer lower discounts depending on the model of the car because it indicates the usage and profile of the buyer. Each company offers different discounts based on the risk perception. The discount or premium is not fixed or administered by the Insurance Regulatory and Development Authority.

KEY PEOPLE

Chairman

Mr. Deepak S. Parekh

Directors

Mr. Keki M. Mistry

Ms. Renu Sud Karnad

Mr. Andreas Kleiner (w.e.f. February 29, 2008)

Mr. Stefan Emberger (w.e.f. February 29, 2008)

Mr. Shrirang V. Samant

CEO

Mr. Suresh Menon (w.e.f. May 1, 2007)


PRODUCTS

1. PERSONAL INSURANCE

  • Motor Insurance
  • Home Insurance
  • Health Insurance
  • Travel Isurance
  • Personal Accident Insurance
2. COMMERCIAL INSURANCE
  • Specialty Insurance
  • Property Insurance
  • Casualty Insurance
  • Group Insurance
3. RURAL INSURANCE
  • Gramin Suraksha Bima
  • Parivar Suraksha Bima
  • Cattle Insurance
  • Rainfall Index Insurance

LOOKING AHEAD

During the next financial year, your Company would continue to focus on expanding business and geographies in all lines of business. The Company would continue to practice prudent underwriting practices. The Company would draw upon the underwriting skills, designing and pricing methodology of new products and experience in process improvements of the new partner. In addition, the Company would also benefit from HDFC’s significant distribution capability.

The informations metioned above are subject to change so keep your self updated with the current happenings please visit the official website of the company: www.hdfcergo.com

Sources:


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