India is not under-buying life insurance, it is simply over-buying the wrong kind. We have turned a protection product into a savings habit.
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India is not under-buying life insurance, it is simply over-buying the wrong kind. We have turned a protection product into a savings habit.
LIC and private insurers posted record margins in FY26, but protection plans remain a tiny share of business as ULIPs and savings products dominate.
Every rupee of premium now buys more cover than it did a year ago. Sum assured across the industry grew 23.6% while premiums grew 15.7%.
According to IRDAI briefings reported in March 2026, insurers committed in-principle to offer zero-commission products on the platform, with agent payouts replaced by a nominal user fee.