Life Insurance Corporation chief says protection policies require active selling

Life Insurance Corporation Managing Director and Chief Executive Officer R Doraiswamy stated that insurance will remain a push product until public awareness improves, according to Moneycontrol.com. The item does not provide specific statistics on current penetration rates, growth figures, or timelines for when consumer awareness might increase. A push product is an item that requires sellers to actively approach, educate, and persuade potential buyers rather than waiting for customers to seek it out voluntarily.

In financial services, complex contracts like life and health policies require significant advisory intervention compared to pull products that consumers buy instinctively. The old position of traditional agent-driven distribution is evolving, but the fundamental need for active selling persists. Insurers, distributors, and financial advisors should invest in customer education initiatives and train advisory channels to explain policy terms clearly.

Compliance officers must ensure that sales practices remain transparent and tailored to customer needs during active outreach. Bottom line: insurance distribution relies heavily on agent-led education until broader financial literacy alters buying behavior.