Insurance Sector Development — Prelims Strategy

Prelims Strategy

For Prelims, focus on factual accuracy and conceptual clarity. Key areas to master include: 1. Regulatory Body: IRDAI's establishment year (1999), its statutory nature, and core functions (licensing, policyholder protection, market development).

2. Key Reforms: The year of liberalization (1999), the R.N. Malhotra Committee, and the evolution of FDI limits (26% -> 49% -> 74%). 3. Definitions: Clearly differentiate between insurance penetration and density, and know India's approximate current figures and global comparisons.

4. Government Schemes: Understand the purpose and beneficiaries of PMJJBY, PMSBY, PM-JAY, and PMFBY. Be able to identify which scheme covers what risk. 5. Basic Concepts: Grasp terms like bancassurance, micro-insurance, solvency ratio, and reinsurance.

6. Market Structure: Know the major public sector players (LIC, GIC subsidiaries) and the general trend of private sector growth. 7. Recent Developments: Keep an eye on current affairs related to InsurTech, regulatory sandbox, and new policy initiatives.

Vyyuha's advice: Practice MCQs that test specific years, percentages, and the correct pairing of schemes with their objectives. Pay attention to 'NOT correct' type questions, as they often test subtle factual inaccuracies.