Tuesday, January 14, 2014

About 67% employees prefer state-run insurers for buying insurance

According to a study conducted by the Associated Chambers of Commerce and Industry of India (ASSOCHAM), one of India's apex trade associations, as many as 67 % of salaried employees prefer public sector companies for buying an insurance product as they feel such insurers are more credible and secure. Among all salaried employees, only 25% prefer private sector insurance companies for their insurance needs.

Further, the study said, “Public sector insurance companies, led by insurance behemoth Life Insurance Corporation (LIC) of India, maintain the highest share in selling insurance policies and their penetration far outweighs private sector peers."

However, the study said that when it comes to mutual funds, private sector insurers preferred among salaried employees, though the sector itself remains low key as the retail market investor does not yet find confidence. About 60% of salaried employees in all segments prefer private sector for mutual fund while only 20 per cent opt for public sector banks.

ASSOCHAM represents the interests of trade and commerce in India, and acts as an interface between industry, government and other relevant stakeholders on policy issues and initiatives. The goal of this organisation is to promote both domestic and international trade, and reduce trade barriers while bringing up conducive environment for the growth of trade and industry of India. It is a member of the International Chamber of Commerce through ICC, India.

1 comment:

  1. This is high time the IRDA should take more proactive steps in health insurance sector.

    ReplyDelete

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