Claims settlement is emerging as a critical measure of trust and performance in India’s life insurance industry, as customers increasingly evaluate insurers on their ability to deliver financial support when it matters most.
The life insurance industry collected premiums worth ₹8.86 lakh crore in FY2024-25, registering growth of 6.73% over the previous year. However, insurance penetration declined to 2.7% of GDP, underlining the need for insurers to strengthen customer confidence and expand protection.
Axis Max Life said claims settlement should be viewed as a key indicator of an insurer’s commitment to policyholders. The company’s individual death claims paid ratio remained above 99% for five consecutive years, improving from 99.34% in FY2021-22 to 99.8% in FY2025-26. During FY2025-26, it settled 20,529 individual death claims worth ₹1,641 crore.
The company said a strong claims experience depends on responsible underwriting, robust technology, accurate documentation, fraud controls, clear communication and timely support for families.
In Guwahati, efficient claims settlement could become an increasingly important factor in driving insurance adoption across Assam and the Northeast. In a market where financial decisions are often influenced by trust, personal experience and recommendations, a consistent claims record can strengthen an insurer’s credibility and brand recall.
As competition intensifies, claims settlement is likely to remain a key differentiator, moving beyond an operational metric to become a defining measure of customer trust and long-term business strength.
