INSURERS BET ON INNOVATION

Mumbai: You do not need to go to the insurance agent to insure your car, health, travel or house, as you can buy it over phone. General insurance companies are coming up with innovative products offering a variety of services as competition in the industry picks up. There is also one company which offers free cover from terrorist attack to the first one lakh applicants.

India’s largest private general insurance company ICICI Lombard has silently launched first-of-its kind, mobile commerce service. Using this service a customer can buy the insurance cover using his mobile phone. While elaborating on the innovation Ms Vishakha Mulye, executive director, ICICI Lombard, said "In India, insurance products are available at low costs, but there are supply side constraints. Insurance companies are not reaching to the masses but technology and innovation holds the key for a change."

To meet this, the company has made insurance products available through mobile phones, said Ms Mulye. Customers will be able to choose the product, pay the premium using a credit card and get the insurance immediately. Later on, they could get the print out of the policy from website as well.

So, for a consumer going abroad it will take minutes to get the travel insurance cover two hours before he boards the plane, explains Ms Mulye. Innovation is helpful for students learning abroad as well. ICICI Lombard offers personalised insurance schemes to students, which match the requirements of their respective universities. To cater to this segment, the company has tied up with 500 universities across the world.

Bajaj Allianz General Insurance Company is also using mobile service for renewals, reminders, SMS alerts and other host of services, said a company spokesperson. As on today, the company is offering the option of online service, but it is looking for more innovative options, he said.

Another example of innovation is the offer of free insurance cover against terrorist attack for the first one lakh people who accept the offer. Mr Rahul Agarwal, managing director and CEO, Optima Insurance Brokers Pvt. Ltd said after the Jaipur bomb blasts it was seen that the many affected families had not received the compensation declared by the government. To fill this void, Optima Insurance tied up with New India Assurance and offered cover of Rs 1 lakh for free for the first 1 lakh people who sign up across India, he said. To avail this insurance policy one only needs to go to the website and apply to get the cover from terrorist attack.

In the last two weeks, 15,000 Indians have taken advantage of the scheme and many more are expected to do the same, said Mr Agarwal.

Source: Asian Age