Big Response to Government’s Low-Cost Insurance Schemes in India

Monday, August 17, 2015

The low-premium life and accident insurance schemes introduced by the government recently have elicited huge response, attracting 11 crore subscribers in just three months.

This is perhaps the biggest-ever response to any insurance scheme and also provides a clue to the road ahead in spreading insurance, TS Vijayan, Chairman, Insurance Regulatory and Development Authority of India, toldBusinessLine here.

In May, the Centre had launched two low-cost insurance schemes, Jeevan Jyoti Bima Yojana and Jeevan Suraksha Bima Yojana, to provide life and accident cover of ?2 lakh for a premium of ?330 and ?12 per annum, respectively.

IRDAI Executive Director Sriram Taranikanti said the success of the schemes, besides the low premium, was the result of effective publicity, and significant involvement of banks and other stakeholders.

Source: The Hindu Business Line (link opens in a new window)

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