Kotak Mahindra General Insurance Harnesses Digital Innovations to Drive Growth, Elevate Customer Experience
CXOToday has engaged in an exclusive interview wit Suresh Sankaranarayanan, Senior Executive Vice President & Chief Technology Officer, Kotak Mahindra General Insurance Company Limited
On digital initiatives
- What are the key digital initiatives that Kotak has taken in recent years?
Digital and technology are key drivers of growth and customer experience for us. The entire cycle of buying, from prospecting to onboarding to delivering a claims experience has been delivered digitally.
Some of the key digital initiatives at Kotak Mahindra General Insurance Company are listed below –
- Digital Sourcing & Issuance for frontline: Launched paperless policy issuance platform through the web and mobile, enabling front end teams across the country to source and issue policies digitally, making policy issuance, faster and scalable. This initiative has already proved to be crucial while dealing with the lockdown scenario during COVID
- Product micro-journeys for our channel partners for end-to-end policy buying
- Chat-bots for customer service & support
- Robotic Process Automation for faster policy issuance
- Surveyors equipped with mobile and web platform for quick assessment and faster claim settlement
- AI based claim assessment
- How have these initiatives helped to improve customer experience?
We are one of the fastest growing general insurance companies and our NPS, a testament of service and experience has been on a steady growth path. The NPS score has shown a 52.7% YoY growth in FY23, and recorded a NPS Score of +50 for Q1 FY24.
- What are some of the challenges that Kotak has faced in implementing these initiatives?
The GI industry has been notoriously paper-based for many years. COVID however greatly accelerated the pace of digital adoption. The key challenges were bringing in the culture shift to think digital, finding the right partner who understands your business for digital implementation and finding the right talent for executing these projects.
- How does Kotak plan to continue to innovate in the digital space?
Digital has been a key driver of growth and continue our digital focus, and glued to the trends and developments in the digital space to innovate. For example, recently we launched a motor insurance feature, Kotak Meter, which is usage based. Through this, one can switch on their insurance while driving and switch it off while the vehicle is not in use. And all this is delivered through a mobile app. Customers can save a maximum of 40% on their own damage (OD) premium via Meter.
AI’s role in insurance
- How is AI being used in the insurance industry?
Some of the best used cases of AI in Insurance is in customer support, experience and claims management. For example, AI based bots are being effectively used for resolution of customer queries and end to end sales. On the claims side, AI based inspections are cutting turnaround times and helping settle claims faster as well as fraud identification.
- What are some of the benefits of using AI in insurance?
AI is revolutionizing better delivery of customer experience and claims, and also cost efficiencies.
- What are some of the challenges of using AI in insurance?
AI model cannot start delivering experience and efficiency overnight since these are learning based and continuously evolving, a continuous state of beta.
- How do you see AI evolving in the insurance industry in the future?
While AI is largely being used in the customer support and claims management areas today, it will play a greater role going forward with companies experimenting in multiple areas. AI based underwriting, customer and risk profiling and even AI based marketing and communications.
On Technology
- How is technology improving customer experience in the insurance industry?
Technology is the backbone of delivering and improving customer experience. And since products of the industry are commoditized, experience is the differentiator. Technology is making buying the product simpler and seamless for the user. It is making selling the product faster for channel partners. On the claims side, which is high impact experience area, it is making the customer’s and the surveyor’s life easier through features like video streaming and AI based assessment. Right from buying a policy, to receiving a policy and settling the claim, everything is delivered through technology.
2. What are some of the challenges that the insurance industry faces in improving customer experience through technology?
General Insurance for much of its experience has been traditional. So the key challenge initially was bringing the culture shift. Secondly costs, since tech implementations call for significant investments. Thirdly talent, finding the right talent and retaining them.
3. How do you see technology evolving in the insurance industry in the future?
There is no doubt that technology will one of the biggest drivers of the industry. The millennials and digital natives are becoming the next segment of customers and their expectation will drive and shape technology for the industry.
