The race to establish a Star Health IPO has begun. The country’s first standalone insurance company is Star Health and Allied Insurance Co. Ltd. Star Health & Allied Insurance Co. Ltd, also known as Star Health Insurance, is an IRDA-licensed stand-alone health insurer. The company began operations in 2006. This insurance company has been proactive in meeting the insurance policy needs of families, people, and businesses. Health, international travel, and personal accident insurance are all offered by the company. Their focus has always been on quality service and innovative products, intending to provide the best possible service to their consumers. Individuals, families, and businesses can all benefit from Star Health’s superb products. They work with clients directly as well as through intermediaries such as agents, brokers, and the internet.
Since 2006, multiple banks in India have had a long-standing association with Star Health Insurance. It does business both directly and via a well-connected network of third-party agents and online platforms. Star Health is also heavily involved in bank assurance, with long-standing connections with a variety of financial institutions. They operate with a variety of channels, agents, brokers, and internet platforms to serve people, families, and businesses. In India, the company employs around 12800 people and has 640 locations. During the fiscal year 2019-20, Star Health underwrote a gross written premium of Rs.6865 crore and established a promising path with a net value of Rs.1889 crore as of March 31, 2020. Star Health currently employs over 12800 people and has 640 locations across India. SEBI, the market regulator, has received a DRHP from the company. According to the DRHP, the business plans to raise a total of Rs. 3000 crores, with a fresh issue of Rs. 2000 crore and an offer for sale of 60,104,677 equity shares.
Star Health IPOCompanies Strength
Some of the major companies’ strengths are as follows:
They are India’s largest private health insurance firm, with a stronghold in the lucrative retail health market.
Offer a wide range of products, with a focus on cutting-edge and specialist items.
They have one of the industry’s largest and most widely distributed networks, as well as an integrated ecosystem that allows us to continue to access the increasing retail health insurance market.
They have a top management team with a lot of experience and a lot of backing.
A strong risk management emphasis combined with domain expertise leads to a higher claims ratio and better customer service.
They have continuously outperformed our competitors in terms of both operational and financial success.
Star Health Insurance has a number of coverage options and policies that aren’t particularly distinctive. The company’s long-term prospects may be harmed by comparable features, identical services, and sluggish innovation.
Strong financials and a larger market share can help the company grow in the long run if it decides to broaden its service offerings and areas of expertise.
As more people become financially aware and seek to account for their financial liabilities on their own, the demand for insurance coverage is increasing. This company may extend its market presence by capitalizing on this demand and expanding awareness of the need for health insurance.
Company Threats
Almost every insurance company has a similar set of products and services. This implies that potential buyers can easily find alternative products and services. The concern of losing potential and existing clients to niche enterprises is growing as the market becomes more competitive.
