Irdai asks cos to make insurance affordable – Times of India

MUMBAI: Insurance regulator Irdai has asked companies to come up with strategies for providing affordable insurance products to achieve the goal of insurance for all by 2047. The move is significant given that high premiums in health insurance are causing many in the senior age group to drop out because of affordability.
The insurance councils hosted the “Insurance for All” vision meet on Friday and Saturday in Mumbai to lay the groundwork for the vision of insurance for all by 2047.A major focus was on defining the insurance for all concept and developing mechanisms to measure and monitor progress. One of the ideas discussed in the meeting was to increase the diversity of providers who, in turn, will bring in a broad range of insurance products, thereby increasing competition and reducing pricing. Another one was widening distribution channels for insurance to make it more accessible, particularly in underserved areas.
Companies suggested that the use of Insurtech can streamline operations, reduce administrative costs, and improve efficiency. These savings can then be passed on to consumers in the form of lower premiums.
Participants said that strengthening the state insurance plan is crucial for making insurance more affordable.