Tuesday, October 3, 2017

Suraksha Students’ insurance a Gold Mine for SLIC, if they know how to use it properly that is!

 So why are they charging a premium from the Ministry of Education, when they can provide it free.

It is simply scandalous that the Govt. has through the Education Ministry agreed to pay a Rs3B annual premium for the above scheme, when they should be getting it free as a benefit for the students. So whose pocket is this Rs3B going to?

If I was running a private life insurance company, I will provide Rs 100,000 life cover for a student’s death while enrolled in the scheme, as actuarially it will cost nothing! To me the benefit of the data base of over 5Million students and their families is a gold mine as it covers half the households in this Country today, and I will have the perfect opportunity to upsell to each of these households as I will have automatic entry to them as I already provide a free service to them. This benefit alone will be worth Rs500M to me. The problem is that SLIC is not nimble or capable enough to take advantage of this potential benefit and therefore profit from the fabulous opportunity it presents.

A private insurer would most certainly find this a lucrative proposition and in order to get this contract I will offer a lot of goodies FREE. The problem is neither the Minister or anyone at SLIC is intelligent and astute enough to see this benefit for the insured, for the state as it costs nothing to them, and to the masses, to whom low cost insurance could be provided, without the hard-sell that unscrupulous private insurers currently indulge or engage in. It is a win win situation if one had the brains of an ant to evaluate it, with the public and the beneficiary student in mind, instead of their personal agendas that are driving such scams.

You can imagine then, how cockeyed this SURAKSHA current scheme is, because it is insuring the lives of the student, and not the parent. It is the parent’s life that requires insurance so the death benefit can go to the student instead, who needs it, as the whole idea is to have a safety net to the student, of insurance in case of an emergency and unexpected event. After all if that is not the prime motivation in getting insurance what is!

In conclusion, let us return to the basics of what we are after: the stated objectives of an insurance scheme for students is, such that they can pursue their school age studies uninterrupted, and coverage designed to insure for that goal. It is then obvious the death benefit is for the death of a parent as then a student can pursue studies when financially strapped. Added to this a disability coverage for parent and child is good but costly to administer and insure due to fraud. So the current scheme is nonsensical and shown just to fool the masses! I say back to drawing board and pass it to the private sector to provide the basics free and upsell if need be.

Can we please appeal to the buffoons who run this Country to concentrate on matters of state and not dabble in concepts they know nothing about. It is in these situations that the professionals look at the Govt. and its ministers like easy picking through whom they can make a buck and pad their personal fortunes, all at the expense of the hapless tax payer.

It is therefore universally accepted that when Government intervenes in anything that is not directly related to their remit, it is done for some ulterior motive, and this scheme is no different, and even more galling to stomach when the Education Minister is using this as a concept of his, from which to gain political advantage, when it actually shows the reverse and myopic vision at that, when he has so many more important crises to manage to sort out and possibly improve upon.

These donkeys preside upon one of the most inefficient and wasteful education systems that do not measure the true talent of a student to create, survive and excel in this world with his or her latent and undeveloped ability, but manufactures a brainless zombie, who by the time they leave school, with no capacity to survive in 2017 or thereafter, as they are NOT given the tools of survival. Instead, they are lead a dance by the curricula and those who teach it, forever consigning these hapless students to a life of non-achievement, except for a few who escape and manage to prove themselves outside the shores of this country, far away from those who tried to suppress their talent and skill. The truly talented somehow survive, it is the 90% of are left that I am referring to as there is always the exception to the rule.

1 comment:

  1. I hope if someone in SLIC reads this they will realize how out of touch they are even in the insurance world, when others are streets ahead of them, and it is time they either came up to 2017, or allow it to be privatized and the Government can get about US$2B for it to reduce the Country debt, and a more efficient organization using proper insurance practices and reinsurance where needed will emerge, as a win win for all.