Moody's Ratings projected 7.3% growth for India's economy on January 19, 2026. This forecast covers the fiscal year 2026, ending in March 2026.
Strong economic expansion should lead to higher average household incomes. This increase will stimulate greater demand for insurance products and financial protection.
Sustained economic momentum, rising risk awareness, and increased digitization will support strong premium growth. Planned reforms in the state-owned insurance sector also support this growth. Moody's anticipates this environment will gradually improve the currently weak profitability of India's insurance industry.
Government reforms should provide additional financial flexibility to the sector. These reforms include potential privatization of state-owned insurers. The government also plans increased limits on foreign investment.