Data Analytics to Improve Insurance Products

Insurance Regulatory and Development Authority of India (IRDAI) Chairman T.S. Vijayan on Friday said unless companies and regulatory agencies made concerted efforts to improve the reach of insurance by using data analytics it will not take off from current level of 20 to 22 per cent of the population.

Data analytics was the key to improving design and distribution of insurance products and leveraging technology to expand their reach was the need of the hour, he told a gathering at the inaugural of the annual conclave of Insurance Information and Ratemaking Forum of Asia (IIRFA 2016), hosted by the Insurance Information Bureau of India (IIB) here on Friday.

Insurance coverage

“Why can’t we reach 100 per cent of the population in coverage?,” he wondered aloud, during his address that predominantly traced the evolution of insurance in the country.Collection and deployment of data for analysis in an organised manner and putting it to appropriate use would help fill gaps in sectors like automobile and health insurance in general and specifically in disaster management, he said.Insurance Information Bureau of India CEO R. Raghavan said the objective of the conference was to learn from the Asian experience and also offer Indian expertise in data collection and analytics to the participating countries.

He expressed happiness that IIB was given the privilege of hosting the annual conclave here for the first time and said the discussions would certainly pave the way for increasing coverage and taking insurance far and wide. Participants at the two-day conference that kicked off on Thursday comprised representatives from the seven member countries of the IIRFA.The delegates include senior executives from Korea Insurance Development Institute, General Insurance Rating Organisation of Japan, Insurance Premium Rating Bureau, Thailand, Taiwan Insurance Institute, Insurance Services Malaysia Berhad, National Disaster Management Authority, Indian Institute of Science and Tata Consultancy.

Deliberations

Other players in the Indian market who participated in the conclave included CIBIL, SBI General Insurance, ICICI Lombard General Insurance, ICICI Prudential, Reliance Life Insurance and CRIF High Mark. There were sessions on Ratemaking and Insurance Analytics, Disaster Manager-The Indian Experience, Financial Inclusion in Insurance and Life Insurance.