In a boost to the life insurance sector in the country, the number of women buyers, who constitute 48% of the total population, is steadily rising. According to the latest Insurance Regulatory & Development Authority of India (IRDAI) annual report, the share of women has increased to 36% in the number of policies & 37% in the first-year premium (FYP) in FY2018-19 as compared to 32% on both the counts in FY2017-18.
The total number of life insurance policies sold in 2018-19 stood at 2.86 crore with an first-year premium (FYP) of Rs 97,690 crore. Of the total number of policies sold, women accounted for 1.03 crore policies in FY2018-19 (90 lakh in previous fiscal) with an first-year premium (FYP) of Rs 36,525 crore in FY2018-19 (Rs 29,801 crore).
Of the total policies bought by women, over a 3rd came from 3 states — West Bengal (16.51%), Uttar Pradesh (10.53%) & Maharashtra (10.16%). Similarly, of the total first-year premium (FYP) of Rs 36,525 crore, over one-third came from Maharashtra (15.74%), West Bengal (10.05%) & Uttar Pradesh (9.55%).
Commenting on the trend, Anil Kumar Singh, chief actuarial officer, Aditya Birla Sun Life Insurance, said, “This is a true reflection of the increasing financial awareness & independence of women in India. We, like many other life insurance companies, are also witnessing more women purchasing life insurance. Interestingly, the participation of women from tier-3 & -2 towns is higher than women from tier-1.”
He said it is important to understand that life insurance needs of women are very different from their male counterparts &, therefore, the need of the hour is to understand requirements of the specific life stages of women & come up with tailor-made products to meet their unique protection requirements.
Bajaj Allianz Life Insurance Company MD & CEO Tarun Chugh said the participation of women in India’s workforce is increasing year-on-year. The trend of women opting for life insurance is indicative of the data that women are now more aware of their contribution to their family’s finances & are looking at life insurance solutions to secure their family’s life goals Star Health & Allied Insurance Company MD S Prakash pointed out that the industry must work with the regulator to come up with women-related health insurance data as it will help players gain a deeper insight into this segment.
According to the report, the proportion of policies sold to women by private sector life insurance players stood at 27% & that of LIC was at 39%.
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