News Life and Health18 Jul 2018

India:Perception is changing of life insurance purpose

18 Jul 2018

The insurance market in India is seen as an anomaly compared to the rest of the world, because the domestic focus is more on returns on investment than on protection, according to Ms Anjali Malhotra, chief customer, marketing and digital officer of Aviva Life Insurance.

“In an under-penetrated market like India, the primary purpose of protection gets a little bit compromised in favour of the growth of money, and that’s an anomaly,” she said.

However, Ms Malhotra added that this trend is slowly changing with millennials in India more aware of the need for protection than their parents were at the same age, reports The Hindu.

“People are recognising the need for protection products at earlier ages, so the median age of consumption of term insurance is somewhat coming down,” she said. “Where earlier it was above 30, it’s now below 30. People are starting to buy these products as soon as they get employed.

“Our financial literacy survey that we took last year shows that millennials are more aware of the need for and importance of insurance than their parents were at that age,” she added.

Millennials are accessing insurance online rather than through an agent. Also, with greater life expectancy, people are looking for longer-term products as opposed to those that mature at 65-70 years of age.


 

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Recent Comments

Gary Bennett

Hence the value of a well trained Agent with a set of products that provide , protection ,life , health and living benefits , Investment and retirement solutions and a transparent charging scenario ... seems what is required to provide is an adequate range of products designed to satisfy a changing but obvious level of customer need ..?

18 July 2018

Peter Angwenyi

There is therefore urgent need to relook at the product distribution channel focussing more on digital transformation so as to reach the millennial.

18 July 2018

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