Abstract:
The COVID-19 pandemic has increased healthcare costs, making it crucial to
purchase insurance to protect oneself and their families. To ensure fair treatment
and protect policyholders, insurance companies must analyse their performance
using the CARAMEL model. This study focuses on selected health insurance service
providers in India, collecting data from annual reports, Particulars Company's
website, and IRDA's website. The study evaluates the performance of Indian health
insurance companies using various ratios and statistical methodologies. Star
Health & Allied Insurance Company Ltd. received the highest gross direct
premium, while Aditya Birla Health Insurance Co. Ltd. received a lower gross
premium. Stand-alone and public health insurance companies performed better in
terms of net premiums. The CARAMEL model showed notable significant
differences between 2016 and 2022, with the only United India insurance company
showing a partial positive correlation. The overall regression analysis resulted in
three key ratios: capital adequacy, asset quality, and risk retention. Results show a
notable significant difference in gross premiums before-after the pandemic, but
also a decrease in various ratios, suggesting a need for financial stability and health
improvement. Star health insurance companies ranked highest.
