HOME > INSURANCE > UPDATES
  UPDATES
INSURANCE
IRDAI working on three-pronged approach to ensure 'Insurance for All by 2047': Debasish Panda
May-26-2023

Insurance Regulatory and Development Authority of India (IRDAI) Chairman Debasish Panda has said that the regulator is working on three-pronged approach -- availability, accessibility and affordability -- to ensure 'Insurance for All by 2047'. India will attain 100 years of independence by 2047 and IRDAI has taken several steps in the last 10-12 months to enhance penetration and density of life cover plans. He said ‘we are also working with the councils of both life and general insurance to have a UPI-like moment for the insurance sector. A conceptual framework has been contemplated’ and added that this is being proposed through the Bhima trinity - Bhima Sugam, Bhima Vistar, and the woman-centric Bhima Vahak.

Panda said IRDAI is moving from a rule-based approach to a principal-based approach, that the opportunity to invest in the insurance sector is immense given the size of the market, and low insurance penetration. Sharing some of the reforms undertaken in the last one year, Panda said the authority introduced use and file system, stopped micro mangement of expenses, a lot of prior approvals done away with and reduction in regulations. He said as many as 70-odd regulations have been repealed, 1,000-odd circulars have been done away with and rationalised 79 returns.

He further said such reforms have facilitated the ease of doing business, promoted healthy competition and encouraged the use of technology. Additionally, he said to meet the distribution challenge, the authority has increased the number of tie-ups that insurance companies can undertake with banks. Observing that Indian economy today is at an inflection point, he said the country is among the fastest-growing economies in the world, with strong demographics, large domestic market size and a robust stock market, among others.

He said ‘hence, there is optimism about India, which is drawing investors who are keen to establish a footprint in the sector. India has the largest market as it has 1/5th of the world population. Hence in a world starved of opportunity, India is a beacon of hope and this is rightly termed as the India Century’. Technology adoption is changing the insurance landscape in the country, and the use of big data, AI, ML are impacting the sector in more ways than one. The regulator is encouraging insurtech, regtech, and fintech to provide ease of insurance.

To enhance penetration, he said ‘we are also trying to do is to reach the last mile through state level insurance plans in line with State-Level Bankers' Committee (SLBC) on the banking side’. It will identify the need for the state and accordingly develop plans. In addition, he said the government is considering amendment of the Insurance Act and that will enable entry of new players in the form of micro, regional, captive and specialised insurance companies and even composite licences can be granted.
  RELATED NEWS >>
Most Viewed >>
April 06 , 2024
RBI to allow UPI payments from PPI wallets via
April 06 , 2024
World markets today: US stocks surge on robust
April 04 , 2024
High valuations could tame the bull this fisca
April 06 , 2024
Cardless cash deposits via UPI apps: Everythin
EXPLORE
© CITRUS INTERACTIVE
Designed & Developed Accord Fintech Pvt. Ltd.