Here's how Budget 2025 can increase the number of insured Indians and fund infra goals

livemint.com:

For India to ensure consistent economic growth and achieve its ambitious target of becoming the third-largest economy by 2027, it needs robust financial systems in which the insurance sector plays a critical role. The sector’s development is crucial to bridging protection gaps, enhancing financial resilience, and driving sustainable growth towards Amrit Kaal.

Insurance regulator IRDAI has set a target of ‘insurance for all’ by 2047, in which every citizen has appropriate life, health and property cover and every enterprise is supported by appropriate insurance solutions. To achieve this goal, IRDAI has introduced various initiatives, creating a supportive and a forward-looking regulatory architecture, leading to wider choice, accessibility and affordability for policyholders. 

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In the upcoming Union Budget 2025-26, the government could look at giving a fillip to this mission by accelerating its support to the insurance sector with some key announcements.

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By addressing these expectations, the government could accelerate the insurance sector's contribution to financial inclusion, economic growth and societal resilience. These measures align with the vision of ‘insurance for all’ by 2047 and support India’s journey in becoming a global economic powerhouse.

Parimal Heda is chief investment officer, Go Digit General Insurance. The views expressed are his own.