By Sandeep Katiyar, Co-Founder & CFO, FinhaatLike an advertisement from yesteryear where a TV reporter popped up on the screen and asked, “Does your toothpaste have salt?” Today, most people ask each other, “Do you have insurance?” Despite this growing awareness, the numbers tell a different story, one that urgently calls for increased insurance coverage across India. India is the 10th largest life insurance market globally, the 4th largest general insurance market in Asia, and the 14th largest globally. Yet, there remains a stark difference in insurance penetration between India’s rural areas and urban centers.In a recent survey by one of the top insurance companies, working hand-in-hand with a leading marketing data and analytics firm, uncovered some eye-opening stats. In urban India, a solid 73% of people have life insurance. Pretty impressive, right? But, and it’s a big but, in rural areas, that number plummets to just 22%. Yep, that’s right—only 22%! This huge gap is a real eye-opener. It clearly shows that as a nation, we’ve got to step up our game to increase insurance coverage in rural areas. We’re looking at customized approaches, making products more accessible, and truly reaching out to make a difference. It’s not just about the statistics; it’s about making sure everyone, regardless of where they live, has the financial protection they need.The survey also revealed that rural India scores only 12 points on the Protection Quotient scale (The India Protection Quotient (IPQ) indicates Financial Preparedness in urban India against an unforeseen future.), compared to 43 points for urban areas. Several reasons including not enough savings, difficult to understand processes, high premiums, poor claim experience have been at the back of low uptake of insurance. Right now, millions of everyday Indian families and small businesses are on the lookout for ways to secure their financial future. But there’s a big question: How can the government and private sector join forces to close this gap and make sure everyone has solid insurance coverage?Also Read | Budget 2024: Give Relief To Taxpayers, Simplify Tax Filing
sekar nallalu Budget 2024,Cryptocurrency,Insurance Budget 2024: Focus On Hinterland! Private Sector, Govt looking To Increase Penetration Of Insurance