To boost the sales of insurance, IRDA has come up with a solution in the form of over-the-counter products. These OTC products could be sold in both urban and rural areas.
These products would have standard features and fixed standard pricing technique. The products are expected to provide low-cost basic insurance coverage. These would be available across health insurance, motor insurance, cattle insurance and life insurance.
Also, a universal health insurance scheme is being launched in the year 2016. The scheme is expected to be merged with the Rashtriya Swasthya Bima Yojana. The plan would offer family covers for up to four members and also an option to include a senior citizen of the family. However, this feature could get some extra cost along.
IRDA is also making efforts to promote online insurance via e-commerce. It has created two groups of life insurers and general insurers, respectively to promote online insurance.
According to the regulator, IRDA, e-commerce is expected to cut down the costs of insurance. It would add to efficiency and also ensure an easy and wide access. This would also play a role in creating a digitally empowered and knowledgeable society in India. The appointed groups will seek opportunities of e-commerce in the insurance sector, provide technological support, give regulatory advice to ensure growth, and adhere to the Digital India initiatives of the government.