Page 34 - Insurance Times May 2020

NEW WORLD

OF LIFE

INSURANCE

IN INDIA

"THE ONLY CONSTANT IN LIFE IS CHANGE" it fair for us to expect that the business we are in will
-HERACLITUS continue to be the same in future? Obviously not. Then what
are the areas in which the life insurance business is going to
Things are not going to be the same again. The world is change? We will have a look at that in this article.
changing for better. As Heraclitus, a Greek philosopher said
change is the only constant in this world. And what is Life insurance is a service. We can't see, touch or feel. We
changing? Everything that we can see, touch and feel is can only experience it in the form of a service. The way in
which life insurance business is happening in India at present
changing. Not only that, everything that we can't see, touch
is a combination of life insurance with investment. These are
or feel is also changing. The products and services produced
across the world are changing. The so called superpowers, two primary elements which decide the characteristics of
in terms of economy are changing. The way we look at the the product being offered by life insurance companies. Till
essentials and non-essentials is changing. What not? now, people are 'largely' buying these products to satisfy a
Everything is changing. representative of life insurance company who happens to
be their friend or relative. It is said that this business is a
relationship business.
Survival of the fittest has been the norm of life on this earth.
Whether it is business or life. Under these circumstance, is
If you have good relations, you will be able to get a policy.
Another purpose of buying life insurance policies in India,
About the author by and large is to get the tax benefit provided by the
government. If they exhaust the limit of section 80C / 80D/
Sreenivas Murthy 80CCC etc., the average customer is happy that he is getting
M.B.A. the full tax benefit provided by the company. And most of
A.M.P. (IIM-B) them firmly believe that only that much is to be saved or
invested to secure their life and no additional investment is
required in life insurance.

34 The Insurance Times, May 2020