Macroeconomic factors affecting insurance penetration in India

Abstract

The purpose of this research was to thoroughly investigate numerous factors influencing insurance demand in light of current developments regarding the entrance of FDI into the insurance industry and the sector's increasing importance. The Granger Causality test and regression will be used in the study to examine some of the key elements. It has examined some of the contributing elements and their predicted relationships. We investigate if the link between population, literacy, life expectancy, and financial development in India by using regression analysis and the Granger Casualty test. By considering insurance penetration and insurance density, we have examined and evaluated these factors.