Covid-19: Life insurers to bite short-term bullet for future growth

Covid-19 is expected to result in improved awareness and importance about life insurance as a risk cover

Covid-19 and the subsequent lockdown will adversely impact life insurers in the short term. However, with a likely change in consumer behaviour and rise in demand for pure-protection products, the medium-term impact may turn out to be positive.

“Based on past regional experiences, it has been observed that such pandemics provide a fillip to protection and guaranteed products. We foresee some shift towards such product forms that are healthy from a margin perspective,” said Prashant Tripathy, managing director (MD) and chief executive officer (CEO), Max Life Insurance.

Covid-19 is expected to result in improved awareness and importance about life insurance