Insurance for All by 2047: What India needs to fix to meet the goal

The Insurance Regulatory and Development Authority of India (Irdai) has anchored its flagship vision to India’s centenary year of independence. ‘Insurance for All by 2047’ aims to provide every citizen with appropriate life, health, and property insurance coverage while supporting enterprises with suitable insurance solutions.

Presently the numbers tell a sobering story. India’s insurance penetration dropped to 3.7 per cent in FY25, marking the third consecutive year of decline from the pandemic-era peak of 4.2 per cent. Life insurance penetration fell from 2.8 per cent to 2.7 per cent, while non-life insurance remained flat at 1 per cent. The global average stands at 7.3 per cent, nearly double India’s position. Insurance density rose marginally from $95 to $97 per capita, but remains a fraction of the global average of $943. India remains the 10th largest insurance market globally with a 1.8 per cent market share.Irdai’s response centers on the ‘Bima Trinity’, a three-pronged digital infrastructure announced in February 2026.

Bima Sugam is a digital marketplace designed to function as the UPI of insurance, allowing customers to buy, renew, compare, manage policies, settle claims, and file grievances through a single interface. The Bima Sugam India Federation has completed incorporation, with industry participants preparing to capitalize the platform.Bima Vistaar represents India’s first composite insurance product, covering death, personal accident, property damage, and surgical hospitalisation under a single policy priced at ₹1,500 annually for individuals and ₹2,420 for families. Each coverage line offers ₹2 lakh sum assured, with health benefits providing ₹500 daily hospital cash for up to 10 days. To be launched soon.

Bima Vahak is Irdai’s initiative to deploy insurance distribution agents in every Gram Panchayat, creating a mainly women-centric distribution channel focused on enhancing insurance inclusion in rural areas.

Separately, the Bima Sakhi scheme was launched by Prime Minister Narendra Modi in December 2025 as LIC’s women-only distribution initiative. The scheme targeted enrolling 2 lakh women over three years and by now 2,00,000 registrations have already been crossed.