The Insurance Awareness Committee (IAC-Life) Chairperson, Kamlesh Rao, has said that the life insurance sector is moving towards a stronger, more customer-focused future, with key reforms already shaping the way ahead. He said that the year 2025 witnessed several important customer-centric steps that will help make life insurance an essential part of social welfare delivery in India. Rao highlighted major developments such as the change in surrender value norms, GST exemption on certain life insurance products, and the launch of the BimaSugam portal. These, he said, will make life insurance more accessible and useful for people across the country.
He also noted that demand is currently rising for protection plans, annuities and savings products. As more households look for financial security and retirement support, insurers are expected to design stronger and more innovative offerings in 2026.
Rao further said that the relaxation of FDI norms may open the door for more international players to enter the Indian life insurance market. He added that a positive regulatory climate, improved digital technology and higher consumer awareness will together support sustained growth in the sector in 2026, making life insurance delivery more efficient and inclusive.