Assurekit: Insurtech platform built to make Financial Protection 10X Simpler
CXOToday has engaged in an exclusive interview withMr. Adarsh Chokhani, Founder & CEO, Assurekit.
- What was the idea behind the setup of your startup? What inspired you to do so?
Since an early age, I have been surrounded by people from the insurance industry. Through my interactions, I observed a consistent challenge: despite its importance, insurance remains complex and inaccessible for many individuals. Assurekit was born in the middle of a pandemic. During this experience, my team and I were able to witness firsthand the devastating effects of not having proper insurance coverage. This only fueled our determination to make insurance more accessible and simple, bringing our team closer and more aligned towards our shared goal.
- When did you realise there’s a need for such a product in the market? And when did you launch in the market?
The need for Assurekit became clear to us during the pandemic, as the world was battling with a global pandemic, my team and I were painfully aware of the devastating impact of inadequate insurance coverage on people around us. 55% of the world’s population lacks access to even the most basic form of social protection. The situation in India is particularly dire too, with a protection gap of 92.2%. This coupled with a lack of consumer awareness and understanding of complex systems multiplied the effect of a low protection net. Having financial protection is extremely important for a stable future. As it gives the security to handle unexpected financial problems. For us, the idea is to simplify insurance distribution for both, buyers and sellers. We are doing this by unifying the backend infrastructure and focusing on customer experience above everything else.
- Since the pandemic, there has been a significant rise in Insurtech startups. Do you think technology can help solve the problem of Insurance distribution in India?
That’s true.
Investor funding in the sector has doubled in the last two years; Also, the pandemic has shown that insurance as a space is resilient and can withstand extreme situations and market fluctuations. We are now a hub for insurtech companies and with a 92.2 % protection gap still existing, I am certain that the insurtech space will be able to reach where fintech today is in the next 10 years just like the Indian fintech industry. The pandemic has shown us that the insurance industry needs a change. Insurtech startups in India have taken the lead to make it happen. I believe that technology can make insurance more simpler and accessible, especially for those who find traditional insurance confusing. And not just that, it can also help insurance companies save costs and be more efficient in their processes.
- Explain what is insurance commerce and how new-age technology is helping to better risk management?
In simple words, insurance commerce refers to the process of buying, selling and claiming insurance products through digital channels. This can include online marketplaces, digital brokers, and other digital platforms that enable customers to purchase insurance policies directly. Insurance commerce streamlines various aspects of the insurance purchasing process by empowering both the customer and the distributor. By digitizing the process, customers are able to make well-informed decisions when choosing the right policy for themselves. Distributors too can easily set up digital storefronts to simplify the purchasing process. Once the policy is purchased, providing excellent customer service throughout the policy issuance and claims support lifecycle is crucial in ensuring a positive experience for the policyholder. New technologies like AI and IoT aid insurance companies in managing risk by providing insights into customer behaviour and policyholder risk. They can analyze data, identify patterns, make data-driven decisions, automate tasks, and improve underwriting, pricing, claims management and efficiency.
- Has the changes in regulations by the IRDAI, impacted InsurTech companies? How is it going to affect the growth of the sector?
Any company selling retail health and life insurance products will have to adapt their strategy to the changes proposed in the new budget. In general, the government’s moves in the insurance industry have been positive for the insurtech ecosystem.
- What is the importance of the digital distribution of insurance in India and do you think AI/ML is here to solve the problem?
Digital distribution is going to be necessary to increase insurance penetration in India. AI/ML isn’t exactly the key technology to solve this, although it will contribute indirectly. Accessibility to technology is the most important barrier to overcome
