Chennai, June 29 (IANS) The Indian insurance industry — life and non-life — logged 7.9 per cent premium growth in 2015 as against the global industry premium growth of 3.8 per cent, said Swiss Re.
In a statement Swiss Re said: “In India, total insurance premiums grew strongly by 7.9 per cent in 2015, compared to a contraction of 1.2 per cent in 2014. The improved performance was aided by stronger growth in both life and non-life premiums.”
The global reinsurance major said life premiums growth witnessed a turnaround in India, growing by 7.8 per cent in 2015, compared to a contraction of 2.1 per cent in 2014.
According to the report, the recovery in the Indian life insurance market was underpinned by investment-linked products which posted strong growth through bancassurance channels.
As regards the non-life, the sector logged 8.1 per cent growth in premium in 2015 compared to a growth of 2.2 per cent in 2014.
Growth was led by stronger health (including personal accident (PA)) and motor third party liability (MTPL) premiums, Swiss Re study said.
However, the insurance penetration in India remained low at 3.44 per cent in 2015 compared to the global average of 6.23 per cent, reflecting large untapped potential.
Robust economic growth and Government enabling policy actions/initiatives are expected to increase insurance penetration and will act as a catalyst for future growth of the industry, Swiss Re said.