WHY BE A PART OF
Insurance is one of India’s sunrise sector
Insurance Penetration in India is currently around 3.7% as on FY 20. This is low in comparison to the penetration recorded in comparable Asian economies such as Malaysia, Thailand and China which are at 4.72, 4.99 and 4.30 % respectively. This presents a huge opportunity for growth in the Insurance sector. Several initiatives are being taken up by the government to fuel the growth in the form of Health schemes. A recent initiative is the announcement in the union budget FY21 to increasing the FDI in Insurance from 49% to 74%. Needless to say that exhaustiveness of Insurance distribution would be critical in taking the reach of Insurance to the undeserved.
Motor Insurance is a need ( Motor Third Party is compulsory), Market share for Motor Insurance is approx. 35% in FY21. India is the largest manufacturer of 2W and 3W and the 4th largest manufacturers of passenger cars in the world.
There is an increased awareness about Health and Life Insurance. Retail health Insurance has shown a sharp growth trend in FY21 of approximately 21.8%. Indian life insurance industry capped FY21 with a 7.5% increase in new business premiums (NBP).
Assisted Distribution models have been contributing a major share of the total insurance premium in India.