India’s health segment to grow faster than motor

October 27 2017 by InsuranceAsia News Staff

India’s motor insurance segment will be outstripped by the health segment, according to G Srinivasan, chairman and managing director of New India Assurance (NIA).

Srinivasan, who was interviewed after NIA’s recent IPO, said that health is set to outpace motor insurance due to the price correction that has been taking place.

He explained that because health insurance policies are voluntary in nature, the sector has the potential to grow much faster. At present, the two segments are enjoying 20% growth.

According to Srinivasan, a mere 10% of people are taking up commercial health insurance policies, so there needs to be innovation in the sector.

For example, insurers should offer more products and better partnerships with hospitals, while improving ways to reach out to clients.