Celebrity weddings attract attention for many reasons — from clothing to jewellery to to the destination and even the venue. The current buzz is wedding insurance. Though not new, the niche idea made headlines after Deepika Padukone-Ranveer Singh wedding venue at Lake Como was insured.

Insurance agents are hoping that this idea will take off in a big way. The insurance could be anywhere between 0.75 per cent and 2 per cent of the total wedding cost depending on the inclusions.

Category less grown

Wedding insurance was launched in India a few years ago but didn’t really catch on. Puneet Sahni, Head, Product Development, SBI General Insurance, agrees that wedding insurance as a category has not grown.

“It is mostly the high-profile weddings that drive traction,” Sahni said.

And what exactly does a wedding insurance cover? it usually includes cancellation or postponement of the ceremony, any public liability, and burglary and theft. It can cover accidental death or disablement of a set of people. While some include postponement due to natural disasters such as floods, others don’t. Jewellery and clothing can also be covered.

Yet, not many opt for insurance in part due to lack of awareness.

M Raghavendra Rao, Head - Retail, Future Generali India Insurance, said: “A great deal of money is spent in weddings. What people don’t understand is that when a calamity strikes or when something untoward happens, people can recover the financial loss. It is a great value proposition.”

The major issue, he says, is the mindset. Weddings in India are sacrosanct and taking insurance is not something majority of the people think about. “This mindset needs to change,” Rao said.

Destination weddings

However, things are changing, though gradually. “Awareness is high, especially among the younger generation,” he said.

Also, as people are increasingly opting for destination weddings, willing to splurge, the market for wedding insurance could grow as well. The Indian wedding market is seen at ₹1 lakh crore.

Rao agrees that to push the product there is a need for better marketing. Earlier, the companies reached the market through wedding planners and brokers.

“But now we are looking at different distribution channels such as social media to popularise the product,” he added.

Related Topics
comment COMMENT NOW