Mumbai, Jan 19 (AHN) Underscoring the vision of ‘Insurance for All by 2047’ as roadmap for inclusive insurance growth, M. Nagaraju, Secretary, Department of Financial Services (DFS), said on Monday that the Indian insurance sector, an integral part of the financial system, plays a significant role in the economy by providing protection against mortality, property and casualty risks, encouraging savings, and providing long-term funds for infrastructure development and other long-gestation projects.

Addressing the third ‘IFSC–IRDAI–GIFT City Global Reinsurance Summit’ in Mumbai, the Secretary stated that India stands at the cusp of transformative growth in its reinsurance sector.

During FY 2024–25, the sector issued 41.84 crore policies, collected premiums of Rs 11.93 lakh crore, paid claims of Rs 8.36 lakh crore, and reported assets under management of Rs 74.44 lakh crore (as March 31). The total reinsurance market in India stood at Rs 1.12 lakh crore in 2024-25.

Referring to the global economic scenario, the Secretary noted that India, with a population of more than 1.46 billion, is the world’s largest democracy and, despite challenging global conditions, has emerged as a global player and remains the world’s fastest-growing major economy.

On the global insurance scenario, citing the ‘Swiss Re Sigma’ report, the Secretary said that after strong performance in 2024, premium growth in the global insurance industry is slowing in both life and non-life segments due to global economic slowdown and an unstable policy environment.

According to the report, India remained the 10th largest insurance market globally by nominal premium volumes in 2024, with a market share of 1.8 per cent.

Insurance penetration stood at 3.7 per cent, with life insurance at 2.7 per cent and non-life at 1 per cent, while insurance density increased marginally to $97, indicating significant untapped market potential.

The government and the insurance regulator have enabled policy frameworks and structural reforms to further growth and insurance accessibility.

Moreover, foreign direct investment (FDI) in the insurance sector has been raised to 100 per cent, a new reinsurer was registered last year, and the Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Act, 2025 provides for the formation of a Policyholders’ Education and Protection Fund, aligns data protection with the Digital Personal Data Protection Act, 2023, and enhances IRDAI’s regulatory powers.