Lack of full-time CMD hits public sector non-life insurers: Union

CHENNAI: The absence of full-time Chairman and Managing Director for the listed New India Assurance Company and full-time Directors for all the public sector non-life insurers, failure of IRDAI in curbing the unethical market practices of private players, are some of the issues affecting the government owned non-life insurers, said a union leader.

Referring to the wage hike offer made by General Insurers’ (Public Sector) Association of India (GIPSA), Girish Khurana National Convener, Joint Forum of Trade Unions and Associations (JFTU), in the government owned non-life insurers also said the management seems to be intent on humiliating and demotivating the workforce ‘without any sense of shamefulness’.

In a letter to Suchita Gupta, Chairperson, GIPSA, Khurana also said the insurers are underwriting Group Mediclaim Policies for corporates where the claims ratio is about 150 per cent.

“The prudence in continuing such policies year after year should be examined. Connivance of certain vested interests / unethical brokers, TPAs and external agencies cannot be ruled out,” he said.