Kathmandu. Data has been made public that 345 million people around the world are covered by microinsurance.
This is according to data recently released by the Micro Insurance Network (MIN). According to the data, 344 million people in 37 countries around the world have access to microinsurance in 2024. MIN has stated that microinsurance has played an important role in providing financial security to low-income families.
The access to microinsurance has increased by 3.9 percent in 2024 compared to the previous year, 2023. In 2024, $6.2 billion in insurance premiums were collected from the sale of microinsurance policies worldwide. Which was $5.8 billion the previous year.
According to the data received, current coverage represents only 12 percent of the target population in the world and 15 percent of the estimated market value. This highlights both the need for further expansion of microinsurance coverage and business opportunities for insurance companies.
The top 4 countries with the highest microinsurance expansion are Peru, the Philippines, Zambia and Zimbabwe. Distribution and payment mechanisms play a key role in expanding access to microinsurance, according to MIN. While financial institutions, microfinance groups and brokers continue to dominate distribution, digital platforms and mobile network operators are increasing their presence in the microinsurance sector.
The study shows that microinsurance products can see significant growth after 3-4 years. The report states that long-term investment is required for this.
