Latest news with #NationalInsuranceAwarenessDay
News18
9 hours ago
- Business
- News18
Insurance Awareness Day 2025: History, Significance & 4 Types Of Life Insurance
National Insurance Awareness Day 2025: The day highlights the importance of insurance for financial security, encouraging policy reviews. National Insurance Awareness Day 2025: Observed on June 28 every year, National Insurance Awareness Day serves as a reminder of the critical role insurance plays in our lives. From health and life insurance to home and business coverage, insurance provides a financial safety net during unforeseen events, be it a medical emergency, accident or loss. However, this protection only works if premiums are paid consistently and on time. The COVID-19 pandemic served as a wake-up call for many, sharply increasing awareness around health insurance. Yet, a large section of the population still views insurance as an optional or unnecessary expense. This day encourages people to rethink that mindset. It's a moment to review existing policies, explore new ones, and most importantly, understand how insurance can secure your future and support your loved ones when it matters most. National Insurance Awareness Day 2025: History And Significance Did you know the origins of modern insurance date back to 1666? After the Great Fire of London destroyed large parts of the city, English economist and physician Nicholas Barbon established the first fire insurance company, The Insurance Office, near the Royal Exchange. His efforts laid the foundation for the vast insurance industry we know today. Since then, insurance has evolved far beyond fire protection. Today, we rely on it for health, automobiles, homes, life coverage, and even businesses. National Insurance Awareness Day, observed every year on June 28, serves as an important reminder to review your insurance policies. Are they still relevant to your current needs? Are your premiums up to date? Do you truly understand your coverage? This day is also about asking the right questions, clearing up confusion, and realising how insurance acts as a safety net during life's unpredictable moments. From financial setbacks to medical emergencies, the right insurance can provide stability when it's needed most. Awareness campaigns and events on this day aim to make insurance less intimidating and more empowering for everyone. National Insurance Awareness Day: Here's How You Can Observe Contact your insurance provider to check for any updates, offers, or changes in your premium. Compare different plans carefully before choosing, and ask for details to find the best policy for your needs. Remember, savings don't just come from switching plans. Taking steps like safe driving, installing home security, or staying healthy can also lower your insurance costs. National Insurance Awareness Day: 4 Common Types of Insurance And Why They Matter Insurance offers financial protection during unexpected events. Here are four important types you should know about: Life Insurance: It provides financial support to your family after your death. It ensures that your loved ones are taken care of by paying a set amount to the chosen beneficiary. Home Insurance: This insurance protects your house from damage caused by events like fire, storms, or other disasters. It covers the structure of your home and helps with repair or rebuilding costs. Health Insurance: It helps pay for medical expenses such as doctor visits, hospital stays, medicines, and routine check-ups. It can be offered by employers, government schemes, or bought individually. Auto Insurance: Auto insurance covers your vehicle in case of accidents, theft, or damage. It also includes liability for injury or damage caused to others. In many places, it's required by law to drive legally. These types of insurance are important because they help protect you and your family from financial stress during tough times. National Insurance Awareness Day 2025: Why Is Insurance Important? Insurance protects you and your family from unexpected expenses like medical bills, accidents, or loss of income. It gives peace of mind and helps you stay financially stable during tough times. Here's why it is necessary: About the Author Bhaswati Sengupta First Published: June 28, 2025, 07:10 IST
News18
9 hours ago
- Business
- News18
India's Insurance Penetration Below 5%: Perception, Not Price, Is The Hurdle, Say Experts
Not only does insurance penetration remain abysmally low in India, but also density too. India's insurance density—which reflects the average insurance premium paid per person—stood at USD 95 in 2023-24. In comparison, the global average insurance density was significantly higher at USD 889, with USD 361 from life insurance and USD 528 from non-life insurance Despite rapid digitisation and regulatory push, the overall penetration remains very low. On this National Insurance Awareness Day, experts from across the insurance ecosystem point to deeper roadblocks beyond just low awareness—ranging from affordability and access to trust deficits and product complexity. While the cost of insurance is often cited as a deterrent, industry leaders argue that the bigger challenge lies in how insurance is perceived. Many Indians continue to view insurance not as a risk buffer but as an investment or a tax-saving tool. 'Affordability is more of a perception issue than an actual financial hurdle," said Udayan Joshi, Chief Operating Officer at SBI General Insurance. 'The real need is for protection-oriented products at reasonable price points that people can relate to and see value in." Healthcare inflation further complicates this picture, argued Amitabh Jain, Chief Operating Officer of Star Health and Allied Insurance. Even though, he added, some health plans cost as little as Rs 13 a day, rising hospitalisation costs and fraud-related premiums add to the affordability anxiety. The average consumer remains unsure about the utility of buying insurance unless faced with a crisis. The Complexity Conundrum Even when consumers are ready to buy, they often find insurance policies hard to navigate. 'Lengthy policy documents, jargon, and technical terms deter many, especially in rural and semi-urban India," pointed out an insurance industry veteran. Saurabh VijayVergia, Founder and CEO of insurtech platform CoverSure added that insurance is still being 'sold as a one-time product", with minimal post-sale engagement. As a result, trust remains elusive. 'We need to move from policy selling to supporting people throughout their insurance journey—transparently and consistently." Can Micro Products Solve Macro Problems? Advertisement Sachet insurance and pay-as-you-use (PAYU) models have been seen as innovative ways to extend coverage to low-income and rural users. When done well, they are simple, affordable, and easily distributed through mobile wallets or mobility platforms. However, not everyone is convinced of their long-term value. Critics argue that these micro-covers sometimes offer the illusion of protection without truly addressing risk. 'Unless we shift the focus from affordability to adequacy, sachet insurance may remain a tick-box exercise, not a real safety net," noted VijayVergia. Still, when designed right and bundled with local services like agri-inputs or daily commute platforms, sachet insurance has the potential to bring first-time users into the fold. Narendra Bharindwal, President of the Insurance Brokers Association of India (IBAI), believes sachet insurance and usage-based models are promising—especially for Bharat (rural and low-income India). 'When bundled with mobile wallets or agri-tech platforms, these models can reach deep into underserved populations. But they must come with robust claims support and simple communication." Embedded Insurance: A Bridge with Conditions advetisement One solution gaining momentum is embedded insurance—cover that's built into consumer journeys like loan applications, e-commerce purchases, or travel bookings. 'Embedded insurance reduces decision fatigue. It meets people at the right moment, in a context they understand," noted Amitabh Jain. Travel insurance is already seeing success this way. But the success of embedded insurance hinges on clarity and usefulness, not upselling. Bharindwal warned that many consumers still ignore embedded insurance because they don't understand what's covered or how to make a claim. 'Transparency and education are vital. Without them, embedded insurance becomes just another passive feature." Where Do We Go From Here? If India is to close the insurance gap meaningfully, it must focus not just on selling more policies but on building trust, simplifying products, and integrating insurance meaningfully into people's lives.
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Business Standard
a day ago
- Business
- Business Standard
80% of Indians not sure what their insurance policy covers: Survey
Almost 80 per cent of Indians are unsure what coverage their insurance policies offer, said a recent survey that marked out the risk of people being caught unawares in emergencies. As many as 71 per cent of Indians have two to five active insurance policies, but only 35 per cent fully understand what they cover, according to the survey by CoverSure, an insurance tech company. The most commonly held policy is life insurance (63 per cent), followed by health (24 per cent) and motor (13 per cent). But 65 per cent of respondents of such policies said they have little to no knowledge of details like policy benefits, exclusions, or claim procedures. Families unaware The issue goes beyond policyholders. A striking 60 per cent of dependents are unaware they are even covered under any policy. Only one in 10 could correctly describe the insurance benefits available to them. Lack of awareness can lead to missed claims or policy lapses, defeating the purpose of having insurance. Poor document management adds to the problem. The survey found: -29 per cent of insurance customers use physical files -26 per cent depend on spreadsheets -24 per cent rely on SMS alerts -21 per cent store documents in digital folders Such scattered storage can result in delays or issues while filing claims or renewing policies. As many as 36 per cent of respondents prefer advice from insurance executives and 26 per cent are open to digital help. A significant 38 per cent believe they don't need any assistance in insurance at all: that is worrying, given the confusion about coverage and policy terms. Need for insurance literacy 'Focusing on penetration isn't enough. True financial protection only comes when policyholders and their families understand their insurance. If they don't know what's covered or how to use it, the purpose of insurance is lost,' said Saurabh Vijayvergia, founder and chief executive officer of CoverSure The survey, released ahead of National Insurance Awareness Day on Saturday, had over 5,000 individuals across metros and Tier 2 and 3 cities
Cision Canada
2 days ago
- Business
- Cision Canada
Canadians encouraged to check home insurance coverage on National Insurance Awareness Day Français
TORONTO, June 26, 2025 /CNW/ - June 28 marks the third annual National Insurance Awareness Day in Canada, which is recognized by the Canadian Insurance Services Regulatory Organizations (CISRO), a national coalition of insurance regulators. On this day, Canadians are encouraged to take time to review their insurance policies and engage in dialogue with their licensed insurance professionals to ensure they have the right coverage for their homes and property. Insurance provides security by helping people in recovering from losses caused by events such as damage, illness, or death. However, many people underestimate the value of their personal belongings, property, or the cost to rebuild their home when filing an insurance claim. Therefore, it is crucial to ensure that your home insurance coverage is adequate to fully protect your property. "With National Insurance Awareness Day on June 28, Canadians are reminded to review their insurance policies periodically throughout the year to remain up to date. Do they have sufficient coverage to support their resilient recovery if a loss occurs?" says Louise Gauthier, CISRO Chair. "Our goal is for every Canadian to feel well protected. That's why we encourage everyone to use this opportunity to review their insurance coverage." Considerations when reviewing or buying home insurance policies: Have there been any lifestyle changes that might require a review of your insurance policy? Has there been a change in value, a sale, or accumulation of items since the last time you looked at your policy? Has there been any work (e.g. finishing the basement) or economic realities that could lead to an increase in the cost to rebuild or replace your property (for example, current replacements or rebuilding costs)? The sale of insurance is regulated in Canada. Insurance salespersons, agents, brokers, and adjusters must be licensed to conduct insurance business. A licensed insurance professional can provide you with expertise and advice to ensure you have risk protection for what matters most. You can make sure you are dealing with a licensed salesperson, agent, broker, agency or firm by looking up their name and licence status on your local provincial or territorial regulator's website. About CISRO The Canadian Insurance Services Regulatory Organizations is a forum of Canadian regulatory authorities who are dedicated to consistent qualifications and conduct of business standards for insurance intermediaries. CISRO members collaborate on initiatives that support a consistent approach to consumer protection through the regulation of insurance intermediaries. A complete list of CISRO member organizations can be found at Media Contact: Ashley Legassic (For English media - Toronto) 416-226-7762 Sylvain Théberge (For French media - Montréal) 514-940-2176
