Insurers urged to innovate with low-cost products for universal Sri Lankan coverage

A senior insurance leader has urged the Sri Lankan insurance industry to shift its focus from incremental growth and develop low-cost, accessible products to pursue universal coverage for the entire nation. 
The call to action came from WTW Head of Life Insurance for India and Sri Lanka Kunj Behari Maheshwari, during the fourth South Asian Actuarial Conference in Colombo last week.
Addressing Sri Lanka’s persistently low insurance penetration rate, Maheshwari urged the industry players to “think a little bit bold”. 
He questioned whether the citizens should be excluded from the nation’s risk pool, simply because they cannot afford a conventional premium.
“Can I really devise programmes that are targeting universal coverage in Sri Lanka?” he asked. Maheshwari proposed a strategic pivot towards creating “low ticket size policies” that everyone in Sri Lanka could afford. He suggested innovative models such as subsidising premiums for the lower-income individuals from the pool of larger policyholders or using the investment income to fund the insurance component.
He framed this not just as a business opportunity but as a core responsibility for the industry. Rather than the small gains in penetration, he argued that a bold push for universal coverage, even if only partially successful, would represent a far greater achievement and help build a resilient financial safety net for all Sri Lankans.
(NF)