Page 186 - India Insurance Report 2023- BIMTECH

174 India Insurance Report - Series II

development. By integrating technology into regular insurance processes, life insurers have succeeded in
effectively making the sector and its services more accessible to a larger segment of customers. InsurTech
has made digital enablement of last mile delivery and distribution possible while simultaneously improving
customer engagement across the product journey.

2.2.Conversion from Push to Pull Products

When it was originally introduced, life insurance was largely a push product. However, the landscape
is changing today. A recent snap poll by Benori Knowledge proved how customers today are sufficiently
aware of the need for a life cover. 91% of the respondents believed it was essential to purchase life
insurance in the aftermath of the pandemic. This change from a push to a pull product indicates that life
insurers need to focus on augmenting the customer experience rather than merely selling their services.

2.3.Customer-Centric Offerings and Services

Personalization is another crucial trend that is sweeping across various industries today, and the life
insurance sector is no exception. Product offerings and services can no longer be deployed according to
a one-size-fits-all principle. Instead, the need of the hour is to tailor the journey from the pre-purchase
stage to the claim settlement phase to meet each customer’s individual requirements.

2.4.Innovation Driven by AI and Automation

AI is the next big thing on the block, and new uses of artificial intelligence are being discovered
nearly every day. The life insurance sector in India is also benefiting from AI-driven automation and
innovation. AI is streamlining the way life insurers analyze application documents, verify the authenticity
of claim-related documents and settle claims. Innovation driven by artificial intelligence is also facilitating
better customer support via chatbots, automated responses and more.

2.5.Data-Driven Underwriting

Underwriting is crucial to life insurance. Today, with data analytics having evolved significantly,
insurers are finding it easier to facilitate more accurate and data-driven underwriting. Fraud detection
has improved t, as has risk assessment. As a result, insurers can now offer customers more customized
premium rates that align with the risk posed by each potential life assured. This makes it easier for
customers to obtain tailored rates that are aligned with their age, personal medical history and family
medical history, among other factors.