Page 22 - Insurance Times April 2024
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4. Encouraging Positive Behaviors                    financial inclusion. Insurers can strategically leverage these
             The industry's central purpose is evolving from loss  budgetary allocations to enhance their product offerings. By
             reimbursement to risk solutions. Insurers have an  aligning with government initiatives, insurers can tailor
             opportunity to redefine their role by encouraging  health  insurance  products  to  specific  demographics.
             behaviors that reduce risks. Insurers can incentivize  Furthermore, the budget's emphasis on technology adoption
             policyholders who exhibit good behaviors, fostering a  empowers  insurers  to  streamline  processes,  elevate
             mutually beneficial relationship. Policyholder can be low  customer experiences, and provide personalized services.
             income but good behavior or be high income and bad  Leveraging AI and ML-based  algorithms,  insurers can
             behavior. This transformation aligns with past efforts,  efficiently process claims and expedite settlements. A unified
             such as advocating for seat belts in cars and safety  platform aggregating rewards and  benefits  enhances
             standards in house construction. Rewarding customers  customer accessibility. Integrating this platform with diverse
             based on aforesaid behaviors can be an incredible  communication channels ensures timely updates on exclusive
             powerful chassis for behavioral changes such as reward  offers, new rewards, and upcoming benefits, all customized
                                                              to individual profiles and preferences.
             for safe driving beyond NCB, installation of theft alerts,
             earn the discount on your next premium or hitting the
                                                              In the healthcare sector, Insurance Eligibility Verification
             gym can give cashback or gym payment directly from
                                                              (IEV) benefits from an advanced automation platform that
             insurer or achieving goals will provide more rewards -
                                                              seamlessly exchanges data with electronic health record
             such as travel vouchers.
                                                              (EHR)  systems,  enabling  real-time  access  to  patient
                                                              information for efficient claim processing.
         5. The Power of Behavioral Insights
             Insurers now have access to advanced technologies such  In  summary,  insurance  companies  should  prioritize
             as Internet of things (IOT) and machine learning/  innovation, foster collaboration, and embrace sustainability
             artificial  intelligence  that  allow  them  to  analyze  while  aligning  their  strategies with  the government's
             customer  behavior  comprehensively.  By  studying  healthcare initiatives.
             individual habits, insurers can better assess morbidity
             and mortality rates. By identifying, preventing, and  References:
             mitigating  risks,  insurers  can  offer  risk-reduction  1. https://www.bain.com/insights/customer-behavior-and-
             services, hyper-personalized products, higher quality  loyalty-in-insurance-global-edition-2023/
             leads for intermediaries. Moreover, understanding  2. https://bfsi.economictimes.indiatimes.com/blog/en-
             driving patterns and financial management practices  hancing-loyalty-through-customer-centricity-in-indian-
             enables more accurate risk pricing.                 life-insurance/105663807


         6. Real-World Success: A Case from Southeast                        About the Author:
             Asia                                              Sanchit Mittal, an experienced Insurance IT presales
             In  Southeast  Asia, a  forward-thinking life insurer  consultant, has a 15-year track record across the US,
             launched services specifically for young families. These  Europe, and the Asia Pacific region. His expertise spans
             services include online health and parenting forums,  technology consulting, market strategy, business analy-
             family  event  trackers,  and  expert  content.  By  sis, and defining digital transformation journeys for cli-
             partnering with prevention-focused organizations,  ents. Sanchit excels in client presentations (CXO), Insur-
             diagnostic services, and food scoring platforms, the  ance value components recommendations, competitor
             insurer engaged over 300,000 customers in the first  analysis, and insurance domain consulting.
             year.  Remarkably,  one-fifth  of  these  active  users  His technology strengths lie in Digital Transformation
             subsequently met with insurance brokers.          Programs and Blockchain Solutions. Additionally, Sanchit
                                                               holds a master’s degree in insurance and operations
         Conclusion:                                           and is a fellow (FLMI) from the Life Office Management
         The  India  Union  Budget  2024  underscores  strategic  Association (LOMA) USA and Associate member of the
         investments in healthcare infrastructure, digitalization, and  Insurance Institute of India (III).

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