Riding the digital wave
These are exciting times that we are living in, what with India progressing to the next level in the digital scheme of things. With almost every industry racing to rise up to the new wave of digitization, the BFSI sector in India, which is undoubtedly crucial to the country’s overall growth and stabilization, was among the latest to extensively embrace technology, giving rise to the FinTech phenomena.
IRDAI issuance on e-insurance policies
Emerging as the bedrock of new and sustainable innovations, with the JAM trinity lending in sturdy support, FinTech in the Insurance space has evolved significantly in the past few years that the IRDAI had recently mandated that certain insurance policies are to be issued in digitized, electronic form, from October 1, 2016.
A recent article as published on Moneycontrol , covers how eInsurance can transform the Insurance landscape by changing the way policies are stored and payments are processed in the industry, with substantial references to Mr. S. V. Ramanan, CEO, CAMS Insurance Repositories Services.
Mr. S. V. Ramanan, CEO, CAMSRep, seen receiving the prestigious Celent & Asia Insurance Technology Award at the 5Th Asia Insurance Technology Awards (2015)
Excerpts from the article:
The Insurance Regulatory and Development Authority of India (IRDAI) has made it mandatory to have an e-insurance account for policies purchased after October 1. IRDAI had introduced e-insurance accounts two years ago, but has made it compulsory only recently.
The move will help not only in consolidating portfolios, but also reduce multi-step procedures and make payment and claims easier, SV Ramanan, CEO of CAMS Insurance Repository Services told Moneycontrol.
The e-insurance account will provide a single point of access to policyholders. In one account, holders can store multiple policies issued by different insurers. The existing physical policies can be converted into e-copies by the policy-holder. The electronic copies will be considered originals by the authorities. Ramanan says that nearly maturity claims of Rs 5,000 crore go unnoticed. The new system will regulate the entire cycle. As per the rules, each account will have a unique identification number and password to access also e-documents.
Not only the documents are secured in one place, it simplifies the Know Your Customer (KYC) process, making changes in existing and new policies. Another benefit is that customers will no longer have to go to insurance offices to get the work done.
The holder will have to do the KYC only once and not repeatedly for all insurances that he/she takes. The new system will provide high access to policy-holders for low data charges.
In areas where digital reach is low, the insurance companies have nearly 1,25,000 common service centers for every six villages that will help people in setting up e-insurance accounts.
On the issue of increasing cyberfrauds, Ramanan said that the electronic infrastructure is strong enough to prevent such frauds.
So far, seven lakh people have registered for the online facility and nearly 5 lakh policies have been converted.
To read the entire article, please visit: https://goo.gl/idw0uj
CAMS Insurance Repository Services Ltd (CAMSRep), a subsidiary ofCAMS, is one of the major Insurance Repositories in India Licensed by Insurance Regulatory and Development Authority of India (IRDAI). CAMSRep, as an Insurance Repository opens unique eInsurance Accounts (eIA) for policy holders,which in essence are convenient, safe and relatively risk-free electronic policies. CAMSRep also acts as a single point of service for all ePolicies held by a policy holder. Apart from repository services, CAMSRep also provides outsourcing services to multiple Insurance Companies in accordance with IRDAI regulations. To know more about CAMSRep, please visit https://www.camsrepository.com/.