Insurance penetration remains low despite growth in real estate sector, says expert
He was speaking at a fireside chat titled ‘Beyond bricks & mortar: why risk protection is critical to modern infrastructure’
The Hindu reports that despite the rapid growth of India's real estate sector, insurance penetration remains low, with non-life insurance penetration at less than 1%. V.N. Sandeep, Deputy General Manager of United India Insurance Company Limited, highlighted that general insurance penetration is only 1% and life insurance is only 2.7%.
Sandeep emphasized that while insurance has penetrated urban areas for projects and infrastructure, awareness of home insurance remains low. He noted that United India Insurance offers over 200 retail and commercial insurance products, and the main challenge is creating awareness among the general public. The company is expanding its reach through micro-offices, insurance agents, and brokers, and is aligned with the Insurance Regulatory and Development Authority of India's "Insurance for All by 2047" program.
Sandeep stressed that insurance should not be purchased like products on e-commerce platforms, advising buyers to consider a company's experience, claim settlement capacity, and claim settlement ratio. He also discussed climate risks, stating that conventional property insurance covers "Act of God" perils, while parametric insurance offers payouts based on predefined weather parameters.
Brief written by urgent.news from The Hindu's own syndicated text. Machine-written — it may contain errors, so check the original before relying on it.
