Govt too has a role in increasing insurance penetration: Nilesh Sathe

High goods and services tax (GST) on premiums is also detrimental in improving penetration

The onus to deepen insurance penetration in India does not solely rest with insurers and insurance regulator; rather, it is the responsibility of every stakeholder including the government, said Nilesh Sathe, Member (Life) of the Insurance Regulatory and Development Authority of India (Irdai) and chief guest at the annual Business Standard Insurance Round Table on March 6.

“India’s insurance industry has a huge business opportunity waiting to be harnessed. In comparison to the world’s total insurance premium, India accounts for just 1.5 per cent. When the penetration is low, there is a greater scope to expand,” said Sathe.

High goods and services