In recent years, technology has advanced by leaps and bounds. There is a great improvement in the auto industry. Although a relatively small part of the Indian population owns a car, the percentage is slowly increasing. At the same time, a much larger proportion of the population owns at least some type of vehicle. Many who cannot afford a car own vehicles such as a scooter, a motorcycle, etc.
With the growth of the Indian middle class and relatively affordable travel fare, travel has become easier. More and more people are roaming the world. This calls for greater demand for travel insurance. This is because no event is free from blunders. Luggage can be lost, flights and trains are missed, accidents are not unheard of. Unfortunately, not everyone can afford this along with their travel expenses. International travel can be very expensive and international travel insurance even more so.
On the other hand, car insurance is one of the more popular insurance policies opted for in India. This is because it is mandatory. Everyone who owns a car needs insurance. As a result, buying a car involves several other costs. The insurance policies are extremely expensive and can discourage people from buying a car. In 2007, less than 1% of the Indian population owned a car. Nevertheless, the rapid increase in the number of car owners shows the increased investment in this insurance. This can be seen as 4.7% of the Indian population in 2013 owned a car/jeep/van.
Now that we focus on progress, we also need to look at the people. We need to find better ways to help them. Investing in auto insurance and international travel insurance is often the deterrent needed to deter people from buying vehicles or traveling internationally. To facilitate the growth of such a policy, it is therefore important to make it more beneficial.
Because why would people invest in extremely expensive travel insurance? It’s true that gaffes aren’t unheard of, but they aren’t extremely common either. Many may consider it a waste of money. But there would also be some of them who repented of this decision. Just about everything is more expensive in most places abroad, from hotel accommodation to public transport.
Therefore, we must make an effort to encourage people to spend money on such useful policies. Making such a policy tax-friendly allows people to discern their benefits. The hesitation they suffer in the cost can be avoided in the benefits the policy proposes. This would be to the benefit of the people themselves, as such policies provide a valuable backup.