This slideshare covers basics of insurance, Indian scenario and top 5 global trends in Insurance sector.

1. INSURANCE AND IT’S
NEW TRENDS.
ANJALI MAKHIJANI
Symbiosis Institute of Health
Sciences (MBA-HHM 2016-18)

2. What Is Insurance ?
• Insurance is a contract between an individual (the
policyholder) and an insurance company.
• Risk pooling technique

3. Types Of Insurance
1. Life Insurance
2. Health Insurance
3. Motor Insurance
4. Home Insurance
5. Personal Accident Insurance
6. Travel Insurance
7. Commercial Insurance

4. Overview of Indian Insurance Industry
• The insurance industry of India consists of 53 insurance companies of
which 24 are in life insurance business and 29 are non-life insurers.
• Insurance penetration in India is likely to cross 4% this year
(ASSOCHAM)
• The number of lives covered under Health Insurance policies during
2015-16 was 36 crore which is approximately 30 per cent of India's
total population.
• The life insurance industry reported 9 per cent increase in overall
annual premium equivalent in April-November 2016.
• The general insurance business in India is currently at Rs 78,000
crore (US$ 11.44 billion) premium per annum industry and is growing
at a healthy rate of 17 per cent.
• India’s life insurance sector is the biggest in the world with about 360
million policies which are expected to increase at a Compound
Annual Growth Rate (CAGR) of 12-15 per cent over the next five
years.

6. Health Insurance in India
• Historically focused on selling hospitalization based insurance
covers.
• Market liberalization in 2001 increased the number of insurers
offering health insurance capacity
• Aggregation of hospitals into networks by specialists TPAs
(Third Party Administrator)
• Entry of Specialist Health Insurance companies between 2007
and 2013
• Spread of Social Health Insurance Schemes (2007-13)
a) Central Government Health Scheme (CHGS)
b) Employee’s state Insurance (EMI)
c) Rashtriya Swasthya Bima Yojana (RSBY)

7. Challenges: Health Insurance India
• Out of pocket expenditure-60% of total expenditure on
Health
• Insurance coverage for chronic health conditions
• About half the population of the country does not have
access to any health financing schemes
• RSBY- largely restricted to inpatient coverage and their
target audience is below poverty line consumers

8. Top 5 New Global Trends in the Insurance
Sector

9. 01- Increased use of Internet of Things by
insurers

10. 02- Usage Based Insurance

12. 03- Using Big Data to improve claim
processing Capabilities

13. 04- Increasing Demand for Cyber
Insurance

14. 05- Usage of mHealth Apps by Insurers