According to a report by Mayur Shetty in The Economic Times, insurtech startups in India are experiencing significant growth, as indicated by a study conducted by ICICI Lombard and Nasscom.
Since 2018, startups in this sector have secured $2.6 billion in funding, primarily directed towards raising awareness about insurance solutions, as outlined in the report. The Indian insuretech landscape predominantly targets the B2C market, with companies like Plum, Acko, Digit, and PolicyBazaar witnessing substantial growth. The report notes a shift in the industry, with traditional insurers, historically slow in adopting technology, increasingly engaging in collaborations amid the insurtech boom.
Despite this progress, the industry faces certain challenges. Issues such as the online sharing of personal and financial data, the absence of human expert guidance, and the presence of inadequate or incorrect policy information online pose hurdles for the insurtech sector.
Girish Nayak, Chief – Technology and Health (Underwriting and Claim) at ICICI Lombard, highlights the transformative role of technologies like artificial intelligence and machine learning in allowing insurance companies to customize services according to individual needs and enhance overall efficiency. Nayak envisions the future as centered around establishing enduring relationships with customers.