Vice President M Venkaiah Naidu today said the insurance industry in India was expected to grow to US Dollars 280 billion by 2020 from USD 84.72 billion in 2017 as the country was poised for higher economic growth.
Speaking at the valedictory session of the 4thSouth Asian Insurance Regulatory Meet and International Insurance Conference here, he said investments made by the insurance companies in various sectors amounted to Rs 30. 76 lakh crore by the end of 2016-17, of which over Rs 2. 40 lakh crorewas in the infrastructure sector.
"The insurance industry is expected to grow to USD 280 billion by 2020 as the country is poised for higher economic growth. The insurance market increased from USD 23 billion in 2005 to USD 84.72 billion in financial year 2017," the Vice President informed.
Naidu said that there was huge potential for growth due to a growing middle class,rise indisposable incomes and greater awarenessforinsurance coverage.
"As against the global average of 6.2 per cent, the penetrationrate ofthe Indian insurance sectoris 3.39 per cent," he said.
Stating that there was a need for insurance companies and regulators to evolve with changing times, he said the focus should be on curbing unfair trade practices and ensuring availability of policies and products to the common man at affordable prices.
As the volumes of subscribers grow, there was a need to prevent fraud and protect the interests of the subscribers who are paying premium, he said.
Cyber security and cyber liability insurance had become extremely vital in the present times withcyber criminalsincreasinglyhacking and stealing valuableand sensitivedata, he said.
He hoped that the recently announced National Health Protection Scheme to provide coverage to 10 crore families, the Pradhan Mantri Jeevan Jyoti Bima Yojana and Pradhan Mantri Suraksha Bima Yojana would give momentum to the insurance sector and mitigate financial risks of poor families.
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