Market Trends of Online Insurance Industry In India
Increasing Internet Userbase in India is Driving the Market
The expanding number of internet users allows insurance companies to connect with the audience and provide tailored services. Through online channels, insurers can tailor their products to meet customers' needs, increasing customer satisfaction and loyalty. The rising number of internet users is a crucial factor driving the growth of the Indian online insurance market. This trend makes insurance more accessible and convenient for a more significant portion of the population.
As India's internet user base proliferates, it has created an opportunity for start-ups and established insurance companies to expand their reach nationwide using digital technology. The online insurance industry in India is increasing, attracting significant interest from investors as start-ups aim to capture an untapped market, mainly in a country where most of the population still needs insurance coverage.
Health Insurance is the Largest Segment in Online Insurance Market
In India, health insurance is the largest segment in the online insurance market attributed to several factors, such as the increasing awareness among the Indian population about the importance of health insurance, which is driven by rising healthcare costs and a growing awareness of the benefits of having health coverage. These online platforms offer competitive pricing and discounts, making health insurance more affordable and attractive to a larger audience. Online platforms provide various health insurance products, allowing consumers to choose the best policies.
However, the government also encourages people to take health insurance by introducing various new schemes and policies. For instance, the government fully finances the 'Ayushman Bharat PMJAY SEHAT' scheme, which is recognized as the world's most extensive health insurance/assurance program. This scheme provides comprehensive coverage and secondary and tertiary care hospitalization services across public and private hospitals.
