Go the rural way to grow faster: Pranab tells insurers

Finance Minister Pranab Mukherjee today asked the insurance industry to head to the hinterland with products that are affordable to the poor section of the society, if they want to grow faster.

"One of the important challenges before the insurance industry today is to generate the required level of awareness about the benefits of insurance to our people, particularly those living in semi-urban and rural areas. It should be our endeavour to take all necessary steps to ensure the reach of insurance to masses," Mukherjee told an insurance meet organised by industry body Assocham here today.

He also asked the industry to prepare themselves for dealing with catastrophes, especially those arising from natural calamities, as our country is prone to many a natural disasters. He also advised the industry to create awareness among the poor and the vulnerable sections of the society, especially those in rural areas, so that they can avail the benefits of financial services.

The government has also introduced many special products aimed at the rural markets like Jan Shree Bima Yojana, Universal Health Insurance Scheme, Aam Admi Bima Yojana, Rashtriya Swasthya Bima Yojana, Crop Insurance etc for the benefit of the poor and needy, he said.

On disaster management, he said, "Insurance companies should concentrate on exploring the world reinsurance market so that the impact of heavy losses can be mitigated."