Insurance Products Provided by Insurance Companies to the Disadvantaged Groups in India

This paper examines the insurance products available to disadvantaged groups in India. The study involved the creation of an informational tool to pinpoint which services were needed for specific target groups, and how well those groups were covered.Before presenting the findings, the study:

• Provides background information on the Indian microfinance industry;
• Introduces the different actors and their positions within the industry.

The rest of the document is presented in the following six sections:

• A brief introduction of the main findings regarding products available, actors involved, and distribution channels used;
• Comparison of all insurance products on the basis of risk;
• The main features of each product;
• The main characteristics of each insurance company involved in the provision of insurance products;
• Information on the various distribution channels;
• A glossary of terms commonly used in the insurance industry.

The document then presents the findings as under:

• 55% of insurance products cover a single risk;
• 52% of insurance products cover life - health coverage is limited;
• Most life insurance products are addressed to individuals;
• 55% of life insurance products are pure risk products;
• Most accident insurance products cover disability risks;
• Half of the available health insurance products have been designed and are restricted to groups;
• Most of the health insurance products specifically exclude deliveries and pregnancy-related illnesses;
• Private companies provide three times more products than public companies.