With increasing awareness, people in the rural sectors are opting for health insurance.
According to a report published in the Times of India, rising healthcare costs, demand in the microinsurance sector, and post-COVID-19 awareness are driving health insurance sales in semi-urban and rural markets.
According to the report, Kotak Mahindra General Insurance more than doubled its rural coverage from 13% in fiscal 2020 to 32% by September of the current fiscal year (FY23). The number of lives covered over the same period also increased from 11% to 25%.
“This can be attributed to the right product fitment and robust demand from the micro-insurance segment,” N Ravichandran, senior executive VP & chief technical officer at Kotak Mahindra General Insurance, told Times of India.
Niva Bupa Health Insurance has also seen a whopping 160% growth in the number of policies since November 2019. The insurer says 7% of its policies come from the agricultural sector. village. Director and Chief Computing Officer Vishwanath said people understand the importance of accessing quality treatment without incurring a financial burden. “Also, the rising cost of healthcare services and overall medical inflation in the country has further made health insurance an absolute necessity,” he added.
“The desire to take insurance in the rural sector is increasing since the pandemic,” according to Star Health and Allied Insurance CMD V Jagannathan.
According to the CEO of Reliance General Insurance, Rakesh Jain, the rural population is mainly protected by the socioeconomic plans of the Center or the state governments. “Hence, the penetration of retail health products is comparatively lower in the rural sector.”
