India's health insurance market to surpass US

The sector has the potential to grow 18% to 20% in the next two decades.

Projections indicate a significant increase in affluent households opting for comprehensive health insurance policies by 2031 and 2047. India's health insurance market is expected to rival and surpass that of the US. 

The sector's growth potential also lies in catering to the expanding manufacturing sector and addressing emerging risks like cyber threats, said Geetanjali Kirloskar, chairperson and managing director of Kirloskar Systems, and chairperson of Toyota Tsusho Insurance Broker India at the Bangalore Chamber of Industries and Commerce (BCIC) Insurance Summit 2024.

Industry speakers at the BCIC Insurance Summit 2024 foresee exponential growth and challenges in India's insurance sector over the next two decades. 

ALSO READ: Working Indian women lead in life insurance ownership

They emphasise the regulator's vision for universal insurance coverage by 2047 and the importance of leveraging technology for distribution.

G Srinivasan, Ex CMD, New India Assurance notes the sector's potential for 18-20% growth over the next 20 years, aiming to match global insurance penetration levels. 

Low awareness about insurance concepts and products, coupled with inadequate spending, hinders sector growth. Increasing income levels and awareness are expected to drive higher insurance spending in the future.