The Insurance sector should not think of growth rate below 15% this year, said IRDAI Chairman Dr Subhash Khuntia at the 21st Insurance and Pensions Summit organised by the Confederation of Indian Industry (CII).
Sharing some statistics, Dr Khuntia said, “Last year, the life insurance segment has grown by 11%, general insurance segment by 12%, health segment by 20% and standalone health insurers by 37%.”
Dr Khuntia invited CII to partner with IRDAI to create an ecosystem where FinTechs can collaborate with insurance companies and intermediaries to design innovative products and reach out to a wider audience. large
Talking about motor insurance sector, he said that IRDAI has initiated a pilot project in four states to ensure motor vehicle insurance is renewed. This is expected to increase the premium collections in the years to come, when expanded to all states. Many vehicle owners are not renewing their vehicle insurance.
Dr Khuntia exhorted the industry to promote the government schemes, which are very cost-effective and in the process expand the reach of the industry to smaller towns and rural areas. The government schemes are cost–effective because they have wider base. “If the industry can expand its reach, it can bring down the premiums benefitting both the insured and insurer,” Dr Khuntia added.
The regulator is also trying to bring synergies between NPS and industry players to expand the reach of annuities.
Sanjiv Bajaj, Chairman, CII National Committee on Insurance and Pensions said that there is a need for broadening of investment opportunities by life insurers who are powerful engines of economic growth and social security. He further reiterated that there was a key need of the insurance industry to have Aadhaar based KYC so that customers’ claims can be settled seamlessly.
