From the golden phase of 2000-2010, Insurance industry of India has gone into plethora of government regulations and increasing costs, apart from rising burden of accumulated operational losses. But gloomy days will be over soon. As late as May 2014, i.e. after general elections, a lot of financial reforms are expected including FDI. Foreign investment will not only bring money but also an expertise and risk mitigation strategies that can be implemented in Indian market. Insurance market is expected to have a high growth rate trajectory in next 4 years.
The insurance market in India has grown at speedy rate post liberalization and since then the market has evolved with every passing year. Currently the government owned Life Insurance Corporation (LIC) of India is the largest insurer of the nation covering around 60% of the market in FY’2012. The last few years have proved crucial for the Indian insurance industry. Through FY’2006 to FY’2012, the insurance sector in India grew from USD28.5 billion to USD 70.6 billion recording a Compound annual growth rate (CAGR) of 16.3% in the corresponding years. The growing population of the country coupled with rising awareness of insurance accounted for this growth.
Insurance Industry in India has huge growth potential and opportunities. With the privatization of the sector and entry of foreign direct investment, the Insurance market in India is expected to grow in the near future. External factors like advancement of technology, more innovative products and an empowering consumer base have made the market more lucrative.
Though the insurance industry struggle to come out of the shadows cast by challenges and uncertainties caused by the global recession ,sluggish economy and volatility in capital markets in last few years, it is anticipated to maintain a positive momentum in the future. Through FY’2013 to FY’2017, the Indian insurance industry is forecasted to grow a CAGR of 11.0%, taking the direct premium to USD 125.0 billion in FY’2017.
The report published today by Advit Research provides you sneak overview of intricacies of Indian Insurance market. From as past as 2006 it projects the various scenarios of Indian Insurance sector for 2017. As per the methodology of Advit Research, company has used SPSS to project future and the variables, correlation and their respective sensitivities are analysed deeply to get all scenarios covered.
For further information please visit INDIAN Insurance Industry Outlook FY’2017
For further information please visit INDIAN Insurance Industry Outlook FY’2017
No comments:
Post a Comment