India tops life global insurance rankings: WEF

Though India may rank low in terms of overall financial development globally, in terms of  life insurance density, it ranks at the top, the World Economic Forum (WEF) said in its latest report.

Life insurance density is measured in terms of ratio of direct domestic premiums for life insurance to per capita GDP of a country and as per WEF's Financial Development Report 2012, India had been ranked 40th in terms of overall financial development of a country, but it was placed better than many larger economies like the US, UK, Japan and China for life insurance density.

China, Japan, US and UK follow India in that order in the top-five countries for life insurance density, WEF said.

In terms of non-life insurance density, India ranks third after China and the US at top-two positions. India is however, ahead of countries like Germany, France, Japan and the UK.

According to global consultancy giant McKinsey's recent report the Indian insurance sector was expected to see an exponential growth in 2012 amid increasing household incomes and higher premiums (as a percentage of the GDP), The Indian Express  reported.

According to the WEF, its report measured the financial development of 62 countries across various segments of their financial systems and capital markets.