By integrating AI into risk assessment, claims management, and fraud detection, insurers can provide more personalized, efficient, and transparent services to customers. AI offers significant opportunities to improve operational efficiency, enhance customer satisfaction, and better manage risk, shared Shashi Kant Dahuja, Executive Director and Chief Underwriting Officer, Shriram General Insurance in an exclusive interaction with
Srajan Agarwal of Elets News Network (ENN). Edited excerpts
Q. What, in your opinion, are the key game-changing trends reshaping the motor insurance industry today, and how is Shriram General Insurance adapting to these changes?
As per the latest GIC report Motor Insurance in India with 31% market share growing at 9% from the previous year. Shriram General Insurance is growing by 24% in the motor segment for the same period. This is because of significant transformations driven by technological advancements, changing customer expectations, and new regulatory landscapes. Changes in consumer expectations and emerging technological trends such as mobile connectivity, digital, big data, and Telematics will change the insurance industry shortly. Insurers are operating in an environment where customers’ expectations and technologies available to meet them are evolving rapidly.
Advancements in technology have provided new methods to insurers for connecting with customers. For example, due to growing instances of vehicles, thefts, and road accidents in India, Telematics can be one of the best solutions for the Indian insurance industry. This allows insurers to track the driving behavior of policyholders, such as speed, braking patterns, and distance travelled. This data helps in offering personalized premiums based on the actual risk posed by the driver, rather than relying on traditional underwriting methods.
Shriram General Insurance is adapting to these trends by embracing technological innovations, such as telematics, AI, and digitalization, while also focusing on emerging areas like electric vehicle insurance and sustainability. The company’s efforts to stay ahead of these changes position it to better meet the evolving needs of customers and stay competitive in the rapidly changing motor insurance landscape.
Q. How do you foresee the integration of AI transforming the motor insurance landscape, especially in areas like risk assessment, claims management, and fraud detection?
By integrating AI into risk assessment, claims management, and fraud detection, insurers can provide more personalized, efficient, and transparent services to customers. AI offers significant opportunities to improve operational efficiency, enhance customer satisfaction, and better manage risk. The company’s embrace of AI-driven solutions can help it stay competitive, streamline internal processes, and offer innovative, customer-centric insurance products in the evolving market.
AI has brought a paradigm shift change in aforesaid areas changing the traditional patterns by completely ruling out massive paperwork and manual interventions.
• Risk Assessment: companies can leverage AI-powered risk models to assess each
policyholder’s driving behavior using telematics data. This would allow the company to offer more personalized pricing
• Claims: AI can quickly analyze the details of a claim, assess its complexity, analyze images or videos of vehicle damage submitted by customers (e.g., through mobile apps) and estimate repair costs using object recognition. This significantly speeds up claims approval and reduces human error
• Fraud Detection: Integrating AI tools that analyze claims data in real-time to identify potential fraud, using historical data and predictive models to flag suspicious activity for further investigation. This reduces the risk of fraudulent claims and ensures that payouts are made only for legitimate claims.
Q. AI is playing an increasingly significant role in enhancing road safety. Could you elaborate on how SGI is using AI-driven solutions to contribute to reducing accidents and supporting safer driving behaviors?
India accounts for the highest number of road accident deaths in the world, 33 per cent of all road accidents and 35 per cent of fatal accidents took place on national highways and expressways.
AI is playing an increasingly important role in enhancing road safety by improving both vehicle safety features and the way we manage traffic systems. By leveraging real-time data, predictive analytics, and advanced algorithms, AI can prevent accidents, reduce fatalities, and make roads safer for everyone.
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AI integrated into telematics devices can track and analyze driver behavior in real-time, including speed, braking patterns, cornering, and other driving habits. By monitoring these behaviors, AI can provide feedback to drivers about their safety practices and even offer suggestions to improve their driving. SGI is working on such telematics data to improve such drivers’ behavior.
Q. With a surge in car purchases during festive seasons, what are the top insurance tips you would recommend to buyers, and how can SGI add value to their motor insurance journey?
When purchasing a new car, selecting the right insurance is crucial to ensure you’re adequately covered while also getting the best value for your money.
Comprehensive insurance is a wholesome insurance package Combining own damage and third-party liability coverage, providing total protection against loss and damage to your vehicle, other vehicles, and properties.
The car is not a short-term product, it’s bought for years to use. One should go with the right insurance option to get the correct offerings and functionalities. It is not only the vehicle that needs the protection, but the driver, occupants, and third party also have to be protected against accidental contingencies.
Shriram General Insurance offers a comprehensive motor insurance policy for all-around protection and security against all possible damages against both external and internal factors. It covers- Loss or damage to the vehicle, Natural calamities, Man-made calamities, third- party liability, and Property Liability, and by paying an extra premium can opt for Zero Depreciation cover, Daily reimbursement, return to invoice, Emergency transport & Hotel expenses, and many more. By opting for Shriram’s unique Motor protection
add-on cover the vehicle owner can have extended advocate services if a third party is involved in an accident.
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Please note that selecting the right add-on covers is of utmost importance. Shriram General Insurance policies can be purchased, renewed, and claimed online at Shriram General Insurance’s digital platform
Q. India has set an ambitious goal of achieving insurance for all by 2047. How is Shriram General Insurance contributing to this vision, particularly in ensuring motor insurance becomes accessible and affordable for every segment of society?
Shriram General Insurance to support IRDAI’s vision ‘Insurance for All by 2047’ by ensuring availability, accessibility, and affordability, have taken various initiatives to reach the last mile.
• Availability: Our commitment is to hiring a large number of agents to ensure insurance products availability to the last mile. it actively contributes to the overall growth and development of the insurance industry. This approach enhances market penetration, raises awareness, creates jobs, and fosters innovation, ultimately benefiting both the company and the industry as a whole. Shriram General Insurance has over 300 branches and 75 thousand agents and further planning to recruit 1.5 lacs agents in the coming years.
• Accessibility: To ensure accessibility at all levels we have provided own mobile application to our agents. Agents play a crucial role in educating customers about the importance of insurance and the various risk coverage options available. This educational aspect helps in creating awareness among the public, which is essential for industry growth.
• Affordability: Shriram General Insurance prioritizes the insured’s financial well-being and understand the importance of affordable insurance solutions in today’s dynamic world. We take pride in offering insurance products that are tailored to fit the individual’s budget.
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One of the examples is IPA (Individual Personal Accident) policy which covers accidents or physical loss arising due to disablement or death in the event of an accidental bodily injury. The policy also pays compensation for accidental death or disablement happening anywhere in the world and charges a very less premium.
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