National Insurance Awareness Day: Embracing Financial Wellbeing Through Insurance

Celebrated on June 28, National Insurance Awareness Day aims to promote awareness about the benefits of insurance, educate individuals about the different policies and coverage options, and encourage proactive steps towards securing adequate insurance protection. National Insurance Awareness Day serves as an opportunity for both insurers and consumers to engage in discussions, disseminate information, and promote a culture of financial preparedness and risk management.

Decoding Expectations of Indian Consumers

In the pursuit of empowering consumers with knowledge, Future Generali India Life Insurance conducted a study that delved deeper into the perceptions and preferences surrounding life insurance. Released on National Insurance Awareness Day, the study takes a closer look at the obstacles faced by individuals when navigating the life insurance landscape, particularly highlighting the dissatisfaction among Gen-Z policyholders with the lack of transparency, trust, and commitment exhibited by insurers.

Speaking on the study, Bruce de Broize, MD and CEO, Future Generali India Insurance, elaborated, “For a country that is pegged to become the third largest economy by 2027-28, improving life insurance penetration can act as an important driver for overall economic development. To bring India on par with the global average, addressing the top barriers preventing the country’s citizens from securing themselves with life insurance is pertinent.”

According to the report, 44 per cent of the survey’s respondents confessed to not having sufficient funds to invest, while nearly 40 per cent cited their lack of knowledge about the benefits of life insurance and the increasing product complexity as the top reasons for not investing in a suitable life insurance cover. Bruce de Broize added, “What’s more, a sizeable number alluded to poor customer care and tedious claim processing negatively impacting their perceptions of the trustworthiness, transparency, and commitment of life insurance companies. Recognising these challenges and perceptions, insurers ought to spruce up their technology investments to reduce operational inefficiencies and introduce new-age financing models,supported by an enthusiastic team of customer service agentswith a clear focus on supporting the IRDAI initiative of ‘Insurance for all' by 2047.”

Driving Insurance Penetration Forward
Aligned with the vision of ‘Insurance for All’ by 2047, ICICI Lombard General Insurance aims to make insurance accessible and affordable for every Indian by providing personalised solutions and prioritising customer-centricity. 

Bhargav Dasgupta , MD & CEO of ICICI Lombard General Insurance, said, “On National Insurance Awareness Day, we recognise the crucial mission of increasing insurance penetration in India. In a nation brimming with potential and opportunities, awareness and understanding of insurance play a paramount role.”

Highlighting the reforms set in motion by IRDAI, Bhargav, who is also the Chairman of FICCI National Committee on Insurance, added, “The reforms have brought forth transparency, consumer-centric practices and accessibility - ultimately fostering trust. We need to work towards fostering a culture of financial awareness and education where risks are mitigated, aspirations are protected, and wellbeing assured with the promise of a secure future.”

Mirroring the views that insurance penetration is one of the most significant challenges for the insurance industry, Parag Raja, MD and CEO, Bharti AXA Life Insurance shared, “There is a heightened need for awareness and accessibility of life insurance products. Our resolve lies in addressing these challenges head-on. In order to spread awareness and reach every Indian, we are leveraging our distribution network, with a special focus on tier 2 and 3 cities. It is imperative for every company to run awareness campaigns and drive the agenda of educating people in their language, ensuring transparent and simplified communication. These collective efforts along with the regulator's vision of 'Insurance for All' by 2047 will surely increase insurance penetration in the country."

Empowering Lives 
In a rapidly changing world, insurance serves as more than just a policy - it acts as a strong shield that safeguards customers' aspirations and offers a safety net during uncertain times, believes Kamlesh Rao, the MD and CEO of Aditya Birla Sun Life Insurance (ABSLI). He emphasised, “At ABSLI, we are committed to raising awareness about protecting our families, securing our dreams, and establishing a solid financial foundation. I urge everyone to recognise the importance of insurance and take proactive steps to secure their future. Remember, today's awareness leads to tomorrow's preparedness. Let's empower ourselves with knowledge, make informed choices, and ensure a brighter future for ourselves and our loved ones. Together, we can build a resilient and well-protected nation.”

Prioritising Holistic Health Coverage
According to the findings of Aditya Birla Health Insurance’s New Health Normal Report 2022, 84 per cent of respondents thought their awareness of health and wellness issues had increased post-covid, and 52 per cent said they had set aside money for medical emergencies. 

Mayank Bathwal, the CEO of Aditya Birla Health Insurance, highlighted this trend and emphasised that individuals now recognise the need for holistic and sufficient coverage. “As a brand, we, at Aditya Birla Health Insurance, believe in the concept of ‘HealthFirst’. We want our offerings to be aligned with the same idea as we constantly invest in the innovation and designing of new products which are backed by cutting-edge technologies. Our aim is to reward our customers for practicing a healthy lifestyle and drive them to remain vigilant about their health.”

As the awareness and understanding of insurance continue to evolve, it is crucial for individuals to make informed decisions and prioritise their financial well-being.