Unveiling Productivity Growth in Indian Life Insurance Firms Through Data Envelopment Analysis

Abstract

This study aims to examine total factor productivity (TFP) growth in the Indian life insurance sector from 2008–09 to 2017–18 using a non-parametric frontier methodology. The methodology's unique approach over a decade and nine observation windows provides insights into industry dynamics. Results indicate a negligible role of efficiency change, emphasizing the industry's reliance on technical advancements. The results are pivotal for industry stakeholders, policymakers, and researchers aiming to boost efficiency and competitiveness. The findings underscore the need for strategic adaptation to technological shifts and optimized managerial practices to drive sustainable productivity growth in the dynamic landscape of the Indian life insurance sector.