Archive · 2 Jun 2025
Indians Prefer Digital Payments for Insurance Premiums
Indians are increasingly using digital methods to pay their insurance premiums.
UPI is now a very popular way to pay, especially for health and motor insurance.
Credit cards are also making a comeback, particularly for term and investment-linked plans, as people seek rewards and flexible payments.
Net banking is growing too, mainly for term and investment plans.
There's also a rise in monthly premium payments, making it easier to manage money.
This shows how people are changing the way they handle their finances, with a preference for digital and flexible options.
UPI usage for insurance premiums is rising, accounting for 33.7% of payments in FY25.
Credit card payments are surging for term and investment-linked insurance.
Net banking is also gaining traction, doubling in overall usage.
Monthly premium payments are becoming more popular.
Debit card payments declined overall, with a notable drop in several categories.
- Who
- Indian policyholders and Policybazaar.
- What
- Shift towards digital payment methods for insurance premiums.
- When
- FY25 (Based on Policybazaar Report)
- Where
- India
- Why
- To offer greater control and convenience for consumers.
- UPI Share (FY25)
- 33.7%
- UPI Rise in Investment-Linked Plans
- 45%
- Term Insurance Credit Card Growth
- 127%
- Net Banking Growth in Term Insurance
- 290%
- Health Insurance Monthly Payment Rise
- 307%
- Overall Debit Card Decline
- -17%