Technology in Insurance

It is safe to assume that voice assistants could revolutionise the insurance space in India by making customer interactions more efficient and personalised.

If the India Brand Equity Foundation is to be believed, there are attractive opportunities in the nation’s near future.

With the demise of the one-size-fits-all approach, the insurance industry has recognised the critical importance of personalised policies. Such tailored approaches help avoid incorrectly priced policies and missed financial opportunities.

Telematics stands as a potent instrument that brings advantages to individuals, insurers, and society at large by enhancing road safety and improving traffic flow.

As cyber threats evolve, cyber insurance remains vital. However, with the emergence of deepfakes, reassessing coverage is crucial.

Bangladesh boasts a robust banking system but suffers from a meagre insurance penetration rate of around 0.4% (compared to India's 4%) [Swiss Re Institute, 2022]. This translates to a vast, untapped market for insurance products.

AI algorithms sift through vast amounts of data to generate insights and predictions, individuals' privacy is increasingly compromised. From facial recognition technology to personalised advertising, AI-powered systems continually collect and analyse personal information without adequate consent or transparency

One can’t ignore the low insurance penetration in India and the efforts made by the Insurance Regulatory and Development Authority of India (IRDAI) to promote innovation and digitisation in the insurance sector. The introduction of the BIMA SUGAM/BIMA VAHAK joint digital platform allows customers to directly transact with insurance companies, enhancing accessibility and convenience. Digitisation has become a necessity for traditional insurance distributors to remain competitive and relevant. Implementing relevant modules, such as digital portals for policy management and claims initiation, improves efficiency. Product innovation, including niche products targeted to specific customer bases and geography, and combo offerings, cater to evolving customer needs and strengthen relationships between financial institutions and customers.