According to a report, ‘India Insurance 2.0: New Rules, New Game’, by McKinsey & Co., the Indian life insurance industry’s gross written premium is forecast to grow at a rate of 13-14% from financial year 2010 to 2015. India will contribute 10% of the total global premium growth and will be one of the few major markets globally to grow at double-digit rates over this period.
However, the report also states that while the Indian life insurance market will continue to be one of the most attractive markets for growth globally, the paradigm for success is likely to change significantly, driven by discontinuities in regulations, customer behaviour and technology adoption.
The report confirms that while the Indian life insurance industry has become one of the top markets globally, the current growth was primarily driven by short-term investment-linked products, with limited emphasis on long-term savings and protection coverage. Here are some findings of the research.
Also See | Growth insured (PDF)
Graphic By Yogesh Kumar/Mint