Insurance industry of India achieved one of the highest growth rates in the world. Post liberalisation in 2000, Indian insurance industry has grown at the average rate of 15-20% every year. Microinsurance also developed as a sub-segment of the insurance industry in this period. Being a sub-segment of the conventional insurance industry, microinsurance has imbibed both the positives and negatives characteristics of the larger industry, specifically in the life insurance segment.