Question

Do you agree or disagree with the following statement? Give reasons:

Government has monopoly in insurance sector.

Answer 1

No, I disagree with this statement.

Reasons:

1. The new economic policy passed the Insurance Regulatory and Development Authority Act (IRDA) in 1999, with the aim of introducing reforms in the insurance sector.
2. The IRDA has given a licence to many private companies to start an insurance business.
3. IRDA has ended the monopoly of the government in the insurance sector. Thus, the government has no monopoly on insurance.