“World Health Day” is observed on April 07 each year. This is one day that you cannot afford to ignore health issues or negate the importance of buying health insurance early in life. The Covid-19 pandemic brought forth the urge to include health insurance in investment portfolios.
ICICI Lombard General Insurance recently published a report highlighting the awareness and purchasing habits of women towards general insurance. The report titled “Insurance Awareness Among Women in India” evaluates attitudes towards insurance by providing a distinct perspective on insurance by including both female general insurance policyholders. Apart, the report also underlines the misconceptions surrounding insurance that may hinder women from getting insured in India.
As opposed to most other investment options that people search for or attempt to glean more information about, health insurance remains comparatively less discussed owing to ignorance or zero understanding of how hospitalization and subsequent medical treatment can make a dent in one’s savings.
The survey was carried out over 779 women respondents, aged 21–55 years from all over India across metros and Tier-1 cities. The details measure the current state of general insurance literacy among women on various aspects like overall awareness, health insurance providers, relevance towards women-centric health insurance plans, decision-making ability and involvement while buying general insurance.
Sanjeev Mantri, Executive Director, ICICI Lombard General Insurance said, “As data shows only a small percentage of women in India consider general insurance a priority. This highlights the need for more awareness and education on general insurance among women in India. The survey conducted by ICICI Lombard highlights the need for more gender-sensitive insurance policies that cater to the unique needs of women. We are committed to providing women with insurance solutions catering to their needs. We aim to create awareness, holistically educate women about insurance, and create a seamless, intelligent customer experience that maximises value for the consumer.”
The key takeaways from the study include:
The preference for general insurance products including health insurance was found among those married with children versus those single or married without children.
More than half of the women (54 per cent) aged 41-55 years, believe age is a key reason for purchase. Roughly 61 per cent of the respondents believe that 25-34 years is the right age to invest in a health insurance policy with working women being more likely to pay for their own insurance policies.
The survey data also highlight the common hindrances that women intending to buy health insurance face while applying for these plans with the main impediment being the purchase process/paperwork. A complete understanding of health insurance still does not exist with many intending policyholders finding it challenging to decide which policy would suit them most in the long run.
This explains why the decision surrounding the purchase of health insurance is not an independent process with only 58 per cent of the women responding in the affirmative about having bought insurance sans any advice from peers and relatives.
Rupinderjit Singh, VP - Retail Health, Acko General Insurance says, “The factors that hold back the majority of individuals in tier II and III cities from buying health insurance plans primarily revolve around -
Awareness: Most individuals have limited access to information pertaining to health insurance. There is a severe lack of know-how among potential customers that stop them from picking the right health insurance plans.
Affordability: Pricing in tier II and III cities have lower healthcare costs. However, delivering benefits in pricing by insurers can help make the products more lucrative for consumers to adopt. Monthly pricing can create a differentiator.
Trust: Traditionally, there is a lack of trust between insurers and customers. This can be bridged by simplifying T&Cs and coverages by providing zero-day waiting period products without co-pays and deductibles. Technology can create transparency and ease for customers to adopt health insurance and indeed drive penetration.”
Consumers’ outlook towards health insurance has changed largely over the past few years, thanks to recurring bouts of the epidemic that continue to affect people in this country. The deaths of millions owing to their inability to afford the much-needed treatment only remind one of the needs to buy health insurance early in life. The concept of “World Health Day” must not be relegated to a single day alone but must be observed lifelong to address universal health concerns.
