National Insurance Awareness Day Highlights Need for Greater Financial Protection in India
National Insurance Awareness Day has renewed focus on the importance of insurance as rising healthcare costs, climate-related risks and economic uncertainties continue to increase financial vulnerabilities for individuals and families.
Industry experts say improving insurance awareness and expanding coverage are essential to strengthening financial resilience and supporting India’s broader financial inclusion efforts.
Commenting on the occasion, Mr. Subrata Mondal, MD & CEO, IFFCO-TOKIO General Insurance Company Limited, said:
“On this National Insurance Awareness Day, I would like to emphasize on the importance of insurance. Having insurance is essential as it provides financial support against uncertainties.
In India, insurance penetration is very low across all segments. People still need to be pushed to buy insurance, rather than proactively purchasing it themselves. Despite Insurance premiums being lowest among Asia-pacific countries and efforts from agents, regulators, and financial institutions, only 15% of losses are currently covered by insurance policies. For instance, in the case of vehicle insurance, more than half of the vehicles on the road are uninsured.
We believe that people should understand the benefits of insurance and take insurance policies to cover their losses in case of uncertainties and medical emergencies.”
According to industry observations, increasing public awareness and encouraging proactive insurance adoption can help households better manage financial risks arising from accidents, illnesses, natural disasters and other unexpected events.
As India advances its financial inclusion agenda, experts believe that improving insurance penetration across health, motor, property and other insurance segments will remain a key factor in enhancing long-term financial security for individuals and families.
