My uncle is 62 years old. Last month, he wanted to buy life insurance. The agent showed him many fancy brochures. Big promises. Nice pictures.
But my uncle asked just one question – “How many claims do you actually pay?”
That question is more important than anything else, especially for senior citizens.
What is the Claim Settlement Ratio?
Let me explain this without any difficult words.
Suppose 100 families ask an insurance company for money. The company pays 95 families. They reject 5 families.
The claim settlement ratio is 95%. Simple math.
The highest claim settlement ratio in life insurance means the company pays almost everyone. They don’t find excuses to say no.
For older people, this number matters a lot. Why? Because at 60 or 65, you don’t have time for games. Your family needs that money when you’re gone.
Why Senior Citizens Need to Check This
Ramesh uncle bought insurance at age 58. He didn’t check the claim ratio. Just looked at the premium amount.
He died at age 67. His wife filed a claim. The company took 8 months. They asked for 50 different papers. They investigated everything. Finally, they paid. But those 8 months? His wife lived in constant tension.
Another uncle bought from a company with a 98% claim ratio. He died at 70. His son filed the claim. Got the money in 15 days. No drama. No stress.
See the difference?
What Seniors Should Look For
Here’s what matters:
The claim ratio – Should be above 95%. Higher is better.
How fast they pay – Some companies pay in 7 days. Others take months. Ask about this.
Documents they need – Less paperwork means less harassment for your family.
Their reputation – Talk to people. Read online reviews. Don’t just trust advertisements.
Getting a term insurance plan for senior citizens is different from regular insurance. Companies are more careful. They check your health closely.
Questions to Ask Before Buying
Don’t just sign papers. Ask these questions:
What is your claim settlement ratio for the last 5 years?
If they say 98% every year, good. If the number keeps changing, be careful.
How long does claim processing take?
Some say 7-10 days. Some say 30 days. Faster is better.
What are common reasons for rejection?
They’ll tell you things like wrong information, hidden health problems, etc. Listen carefully. Don’t make those mistakes.
Do you have a senior citizen special plan?
Some companies have plans made just for older people. These might be better.
Medical Tests and Health Check-ups
For senior citizens, insurance companies usually ask for medical tests. Blood test, sugar test, ECG, sometimes more.
Don’t try to cheat these tests. Don’t hide problems. Be honest.
I know someone who didn’t mention his kidney problem. When he died, the claim was rejected. His wife got nothing. Twenty years of premiums gone.
Better to pay a bit more premium than to risk rejection later.
Comparing Different Companies
Let me give you rough numbers. These change every year, but you’ll understand the pattern.
Company A – 98% claim ratio, pays in 10 days Company B – 95% claim ratio, pays in 20 days
Company C – 88% claim ratio, pays in 45 days
Where would you put your money?
The answer is obvious. But many people still go for Company C because the premium is 2,000 rupees cheaper. Don’t make that mistake.
Special Advice for People Over 60
If you’re reading this and you’re 60 or older, listen carefully.
Don’t delay insurance. Every year you wait, it gets harder. Premium goes up. Health issues come up.
Start with smaller coverage if the premium is too high. Ten lakhs is better than nothing.
Read the policy carefully. Everything written in small letters matters. Everything.
Keep all your medical records organised. Your family will need them.
Tell your children where you keep the policy papers. Many claims get delayed just because the family can’t find the documents.
Term Plans vs Other Options
A term insurance plan for senior citizens is usually pure protection. You pay a premium. The family gets money if you die. That’s it.
There are other plans that give money back or build savings. Those sound nice. But they’re very expensive for seniors.
My advice? Keep it simple. Get a good term plan from a company with the highest claim settlement ratio in life insurance. Don’t complicate things.
Take Action Today
If you’re over 55 and don’t have insurance, start looking now. Tomorrow you might have a health issue. Then it becomes very difficult. If you already have insurance, check your company’s claim ratio. If it’s low, maybe think about changing.
Yes, you can switch insurance companies. You’ll lose the old policy and start fresh. Sometimes that’s worth it. And always remember – the best policy is one that your family actually receives. Not one that looks good on paper but fails when it matters.
