DFS Secretary Highlights Growth Of Insurance & Reinsurance Sector At GIFT City Summit

New Delhi, Jan 19 (KNN) Department of Financial Services (DFS) Secretary M. Nagaraju on Monday highlighted the steady expansion of India’s insurance and reinsurance sectors. 

Addresding the 3rd edition of the IFSC–IRDAI–GIFT City Global Reinsurance Summit in Mumbai he reiterated the government’s long-term vision of “Insurance for All by 2047”.

In his address, the Secretary commended the progress of IFSC GIFT City and said India is at a critical juncture in the evolution of its reinsurance market. 

He noted that the summit’s theme, “Bridging India Today, Insuring India Tomorrow – the India Evolution Roadmap”, aligns closely with the national objective of building an inclusive and resilient insurance ecosystem.

Describing the summit as an important platform for industry and regulatory stakeholders, Nagaraju underscored the role of insurance and reinsurance in supporting India’s broader economic ambitions. 

He observed that India, despite global economic headwinds, continues to be the world’s fastest-growing major economy, with growth projected at 6.6 per cent in 2026, and is strengthening its position in the global economic landscape.

Referring to the global insurance outlook and citing the Swiss Re Sigma Report No. 02/2025, the Secretary said that premium growth worldwide has moderated in both life and non-life segments following strong performance in 2024, largely due to economic slowdown and policy uncertainty. 

He noted that India ranked as the 10th largest insurance market globally in 2024, with a 1.8 per cent share of global premiums. Insurance penetration stood at 3.7 per cent, including 2.7 per cent in life insurance and 1 per cent in non-life insurance, while insurance density rose marginally to USD 97, reflecting substantial untapped potential.

Highlighting domestic performance, the DFS Secretary said the insurance sector continues to support economic stability by providing risk protection, mobilising long-term savings and financing infrastructure. 

In FY 2024–25, insurers issued 41.84 crore policies, collected premiums of Rs 11.93 lakh crore, settled claims worth Rs 8.36 lakh crore and reported assets under management of Rs 74.44 lakh crore as of 31 March 2025, while the reinsurance market stood at Rs 1.12 lakh crore.

He also referred to recent policy and regulatory reforms to expand insurance coverage, including raising the foreign direct investment limit to 100 per cent, the registration of a new reinsurer, and the enactment of the Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Act, 2025, which provides for a Policyholders’ Education and Protection Fund, aligns data protection with the Digital Personal Data Protection Act, 2023, and strengthens IRDAI’s regulatory powers.

Concluding his remarks, the Secretary highlighted the role of the International Financial Services Centres Authority in positioning GIFT City IFSC as a global reinsurance hub, facilitating foreign reinsurers, aligning regulations with global standards, and enabling cross-border reinsurance, with GIFT City expected to play a central role in advancing universal insurance coverage by 2047.

(KNN Bureau)