Critical Study of Insurance Industry in India

Examining the Evolution and Impact of Insurance Industry in Traditional Indian Society

Abstract

The history of our Indian community shows that when an unfortunate accident happened to a person in the family, the joint family system provided financial cushion and also security. Our country's industrialization process culminated in the division of the joint family system into nuclear family units, and complete absence of funding for the joint family system. The insurance domain solves one of a logical human being's significant problems by building a corpus for an unknown future. The purchasing of a life insurance policy is one of the individual's prepared and structured decisions to reduce or even remove the potential loss arising from uncertainty, where possible. This gives him economic security and also gives him peace of mind as his family is sure to get relief from financial burden and pressure. Society in India is predominantly traditional. This paper reflect critical study of Insurance Industry in India.