The Insurance Regulatory and Development Authority of India (IRDAI) is in talks to launch a revolutionary platform, Bima Sugam, to make the sale, servicing, and claims of insurance policies easier and more efficient, CNBC TV-18 reported.
The platform will provide a single window for customers to find and access all the participating companies' insurance products and services.
The IRDAI Chairman has held meetings with the CEOs of Life and General Insurance companies to discuss the revived roadmap for Bima Sugam. The plan is to charge a fee for each transaction, such as the sale and renewal of policies, and the enquiries made. This fee will help to raise funds for the operational expenses.
The implementation of Bima Sugam will be done in two phases. The first phase will involve the platform functioning as a data bank for insurance and intermediary companies. The second phase will allow the listing of products on the platform.
What changes for the consumers?
The insurance industry is highly competitive, and this initiative by IRDAI will bring together the various players into a single platform. It will increase transparency and accountability in the insurance sector, making it easier for customers to find the best product for their needs.
Commenting on the same, Ritesh Kumar, MD & CEO of HDFC ERGO General Insurance said, “Accessibility is an important pillar in IRDAI’s vision of Insurance for All by 2047. Bima Sugam will improve the accessibility of insurance and digitisation of the buying and complete servicing journey and provide increased convenience to customers/intermediaries.”
“This digital platform will serve as a single window access to customers and intermediary for all their Insurance needs. They can purchase new policies including doing eKYC, enable endorsements, raise claims and renew policies. The platform aims at improving digitisation across the entire lifecycle and improving transparency and servicing to both customer and intermediary,” he added.
Adding his views, Dr. Bhabatosh Mishra, Director Underwriting, Products and Claims at Niva Bupa Health Insurance stated, “The regulator has proactively come up with progressive regulations in the best interest of customers from time to time. Over the last 2-3 years, the pace of such reforms have gone up significantly. Ever since the new Chairman of IRDAI took charge, he has been vocal about the fact that the regulator plans to move from the current rule-based regulation to principle-based regulation which would allow the industry to innovate and grow faster. It is a welcome step which will foster further development in the health insurance sector.”
“The ongoing wave of digitization in the insurance sector, especially with the inception of Bima Sugam by IRDAI will serve as a one-stop technology platform for all insurance needs, right from policy buying to claim settlement and much more in real-time, across Life, Health, and General insurance. It is also seen to be helping insurers and IRDAI track integrated data to understand trends in coverage, customer needs and product requirements. This initiative will enable customers to buy insurance seamlessly and lead to greater penetration in the sector across the country,” he added.
Ajay Shah, Head – Distribution, Care Health Insurance said, “Bima Sugam has been launched with an objective to simplify the process of purchasing life, health and general insurance for consumers. The portal will work as an insurance market place where insurers, distribution networks & policy holders can meet. This will enable the digital platform to ensure a seamless & efficient experience for comparing and providing information of various products to the customer on a single platform.”
“It will also simplify the process of purchase by enabling customers to complete the entire transaction online for their choice of product. The platform will work on the principles of simplicity, security, convenience, transparency and trigger innovation in the industry,” he added.
Bima Sugam is an innovative platform that will revolutionize the way insurance is sold, serviced, and claimed in India. It will provide customers with an easy and convenient way to find the best insurance policy that meets their requirements.
