Page 28 - Insurance Times April 2024

Insurance

Industry

Welcomes You! Retired Executive Director LIC of India
R. Venugopal

Retired Chair Professor National
Insurance Academy, Pune.

Insurance Sector is in the news now-a-days. With the passing of the new Insurance Bill by the
Parliament recently, the FDI limit has been increased to 74% from the earlier level of 49% in the
sector.
I nsurance Sector is in the news now-a-days. With the Y There are at present 3.49 lakh employees, employed

passing of the new Insurance Bill by the Parliament
by the 68 insurance companies and around 25 lakh
agents in the entire life insurance industry.
recently, the FDI limit has been increased to 74% from
the earlier level of 49% in the sector.
Opportunities Galore
This has raised the hopes and the aspirations of the youth As per the Swiss Re Report, India occupies 9th position
in this country due to the following reasons:
among the top 10 Life Insurance Markets in the world.
Y There are possibilities of new foreign Players entering
the arena, leading to new insurance companies.
But 80% of our population does not have any life insurance
Y The existing foreign Players may increase their stake to policies, leaving an excellent, vast scope for the future
74% from the present 49% in their insurance companies. business.
Y As it is, there are 24 life insurance companies including
the Public Sector Giant- LIC of India and there are 27 As per the UN Population Division Studies, 60% of our
General Insurance companies including the 4 Public population is within the age group 15-59, which is the main
Sector companies in the field- The Oriental, National, target of the life insurance companies.
United India and New India and 11 Re-insurers including
10 Foreign and one GIC Re- Indian Reinsurance Again, 30% of our population is with the age group 0-14,
company. There are 6 Stand alone Health insurance one more target group for Children's policies thus opening
companies, taking the total to 68. More General up huge vistas for growth of the industry.
Insurance companies are entering the arena.
During the financial year 2017-18, the new business and
Y With new companies coming in to the Market, there renewal business premium income in life insurance touched
are chances of more branches, more employees & more than Rs. 5 lac crores.
officers, improving the employment opportunities in
India in the near future.
These are all statistics pertaining to the life insurance sector
Y As it is, there are more than 15000 offices in the life alone and we may have to add the opportunities available
insurance industry alone. The number may exceed to the General Insurance Sector too, because General
20000, if the General Insurance offices are taken into Insurance sector is a humungous one, touching every aspect
account. of human life- be it accident insurance, property, vehicles,

26 April 2024 The Insurance Times