In India, it is necessary to take motor insurance under the Motor Vehicles Act of 1988. The increasing cases of road accidents, the number of cars getting damaged have forced people to opt for motor insurance to protect their vehicles. According to ICRA, the general insurance industry is expected to grow by 7% to 9% in gross direct premium income during FY22. In FY21, the industry grew at 4% per annum and stood at Rs.1.85 lakh crore.
Advances in technology have also brought about a significant change in motor insurance and these gradual changes will continue in the years to come. Today's customers are more aware of insurance than ever before and are also mature about their needs. They are on the lookout for more personalized services, which motivates insurers to offer more customized plans.
With the changing customer needs and behavior driven by the industry environment and advancements in technology, insurers strive to provide customized products in the easiest possible manner.
Keeping this in mind, motor insurance consumers have recently brought some special changes, which will continue in 2022 as well. Know, what are those important industry trends:
Artificial Intelligence (AI)
Advanced technologies have completely changed the field of information systems, making it even easier for insurance consumers to use. With AI/ML-driven solutions for claim detection, automated claim fraud detection with rich data analysis, claim volume estimation, and loss analysis automated, insurers can improve claim management have been successful. In addition, due to the large population and availability of digital data, insurers can better understand the needs of human beings.
machine learning
Machine learning can help automate claim processing. Digital and cloud-accessible files can be analyzed even more precisely with the help of pre-programmed algorithms. This review can be used for policy administration and risk assessment.
telematics
Telematics are wearable technologies in the car. This allows monitoring of parameters like speed, location, and accident. This data is further processed by analytics which decides the policy premium. Telematics encourages drivers who have better driving skills, thereby reducing claim costs for insurers.
chatbots
It is estimated that by 2025, most of the discussion will be driven by the power of chatbots. With the help of Chatbots, communication will be simplified and this will save time/inside the organization. A chatbot can communicate policy-related information, procedures and avoid human intervention to the customer.
The demand for Electric Vehicles (EVs) in India is gradually increasing. Besides being a more sustainable option than petrol and diesel vehicles, they will be more economical in the long run. With incentives likely to be offered on the purchase of EVs, this segment is expected to grow.
These technological advances will give shape and momentum to the motor insurance industry. Implementing an emerging technology is a top-down exercise for the industry and the introduction of a regulatory sandbox indicates the government's approach to digitization as the future of the sector.
India is gearing up to host the next G20 summit. Awareness programs about the G-20 summit and get
Former CEO of NITI Aayog Amitabh Kant has described the development of the private sector in the
Today, the match between Royal Challengers Bangalore and Chennai Super Kings will be played at Ma
After banning wheat exports in May, the government has decided to put in place a new approval fra
External Affairs Minister S Jaishankar will go on a two-day visit to Russia today. There he will
Five days have been completed since the launch of the Agneepath scheme of the Central Government.
India-Pak Relation: The Foreign Ministers of India and Pakistan have met for the first time after
Afghanistan wicket-keeper batsman Mohammad Shahzad was seen smoking a cigarette on the ground dur
India-China Relation After deteriorating relations with India, now China's arrogance has started
Prime Minister Modi and Foreign Minister S Jaishankar have issued their statement as soon as Indi
