Page 42 - Insurance Times May 2023

Session II ecosystem for all claims and make the overall customer
experience meaningful.
At a panel discussion on 'Push and Pull- Driving distribution
Mr Ramgopal Subramani, Chief Strategy Officer, Perfios
and demand for insurance' moderated by Mr Aniruddha
Software Solutions Private Ltd observed that data has the
Marathe, Managing Director & Partner, BCG and Core
potential to bring down the cost significantly as it is possible
Member, BCG India Insurance Practice, panelists discussed
to use data for customer acquisition, reduce verification and
how distribution will be a principal enabler for achieving
claim management. "If the combination of technology and
'insurance for all'.
data can improve overall experience, we can shift the
Responding to the implications of further opening-up of
market from a push to a pull," he noted.
bancassurance or agency models, Mr Neelesh Garg, MD &
Mr Sarbvir Singh, CEO, Policybazaar.com was of the view
CEO, Tata AIG General Insurance Company Ltd stated that
that for the insurance industry to improve efficiency, the
this would result in insurance companies being forced to
focus should be on bringing down the overall cost and not
come out with better products, better service levels and
commission. "The dominant emotion with customers
claims and most importantly focus on affordability and
regarding insurance is anxiety instead of safety and
pricing. He predicted new business models emerging in the
security," he observed. To overcome this challenge, Mr Singh
new setup in which the commission rates will be determined
believed that simplicity of products, smooth service
by the value addition of every channel. He pointed that 'Bima
experience and smooth claim experience are the key
Vistar', 'Bima Sugam' and 'Bima Vahak' are the most
features that needs to be provided to insurance customers.
powerful initiatives and could change the landscape of the
Mr Singh strongly believed that technology is the only
Indian insurance industry. He highlighted three factors
answer to meet these requirements.
necessary for the success of the Bima Vahak initiative,
namely collaboration and partnership with state Session III
Governments, product standardisation and role of
At a panel discussion on 'Reshaping the Business Trajectory
technology.
and the Business Models' moderated by Mr Anupam Sahay,
Mr Prasun Sikdar, MD & CEO, ManipalCigna Health
Managing Director & Senior Partner, BCG and BCG APAC
Insurance Company Ltd felt that open architecture of
Insurance Lead, panelists discussed how sharp change in the
agency would increase the choice of products for agents.
insurance sector is the need of the hour with new players
"Conversion and income of agents will go up and customers
and business models likely to emerge.
will get the best product," he opined.He was of the view
Mr Krishnan Ramachandran, MD & CEO, Niva Bupa Health
thatInsuretech Fintech platform can increase the depth and
Insurance Company Ltd., felt that sooner or later most
width of insurance distribution. Mr Sikdar suggested
operators will embrace technology. "From an ecosystem
variablizing the entire agency cost as it would allow
standpoint, technology can help build a climate of trust."
insurance companies to scale up agency distribution in the
He lamented that the industry had a large degree of
rural hinterland of India. He also expressed optimism
information asymmetry. He called for technology and data
regarding the 'Bima Vahak' initiative and stated that it
to come together to enable and propel the industry to push
would cater to the insurance needs of not just the bottom
towards the customer. It has to happen at the country level,
of the pyramid but also the 'missing middle'.
he felt. The composite license proposal can be very valuable
"One size fits all approach cannot work for the insurance
in pushing penetration by better leveraging data about the
sector," said Mr Mahesh Balasubramanian, MD, Kotak
customer.
Mahindra Life Insurance Co Ltd. He was optimistic about the
Mr Kamlesh Rao, MD & CEO, Aditya Birla Sun Life Insurance
expenses of management (EoM) guidelines as he felt it offers
Company Ltd., called for a marriage between data,
freedom to insurance companies to choose a customised way
technology and products. Insurance companies should be
of rewarding distributors and a better manoeuvrability to
able to feed into the data within available systems. "Find
do things as per the demand of the channel or as per the
places where a customer is captive on a platform," he
evolution in business demands. "What UPI did to the
advised. "That is the essential marriage between data and
payments industry, 'Bima Sugam' can do to the insurance
platforms and the customer who is captive on a platform."
industry," he declared. He felt that the servicing of insurance
He was clear that a lot of change will happen over the next
policies would enter a new era with 'Bima Sugam' initiative.
few years.
He further stated that to convert the insurance market from
a push to pull, there is a need to build a strong, transparent "The issue in life insurance is that we don't interact with
38 May 2023 The Insurance Times