Impact Insurance Research Paper #29: Understanding and information failures

Reserach Paper #29 attempts to understand the factors underlying the low take up and renewal rates frequently observed in insurance programmes in poor countries. Based on experience in India, the findings suggest that deficient information about the insurance product and the functioning of the scheme, poor understanding of the insurance concept, and the resulting low use of the insurance products by eligible households are some of the main causes of low enrolment and renewal rates.