IRDAI Chairman Calls for Digital Overhaul to Streamline Insurance Claims

He recommended customer-friendly features such as a 30-day free-look period and insurance policies covering all age groups.

The Chairman of the Insurance Regulatory and Development Authority of India (IRDAI), Debasish Panda, has urged insurance companies to embrace digitalization and modern technologies to create a transparent and hassle-free claims process.

Speaking at a recent event, the IRDAI Chairman emphasized the importance of streamlining the insurance sector as part of the goal to achieve "Insurance for All" by 2047.

He highlighted the necessity of maintaining trust and transparency in the industry, stating, "Insurance is a promise, and transparency and trust are essential pillars."

At the summit, Panda stressed that policyholders today are more informed and selective in choosing comprehensive policies suited to their needs.

However, the real test for the insurance industry lies in delivering a seamless claims experience, which he described as the "moment of truth."

Further, he called on insurers to better understand their policyholders and ensure the claims settlement process is swift, transparent, and free of complications.

"The claims process should not add stress for the policyholder," Panda stated.

The IRDAI Chairman noted that providing a smooth experience can turn policyholders into lifelong advocates for the insurance industry.

Additionally, Panda outlined three key areas for improvement: Products, Processes, and Promises.

He recommended customer-friendly features such as a 30-day free-look period and insurance policies covering all age groups. He also called for well-trained distribution networks to enhance the customer experience and streamline the solicitation and service request processes.

He also announced that IRDAI is working on a National Health Claim Exchange. This initiative will facilitate cashless hospitalization across hospitals nationwide, reducing the burden on policyholders during stressful times like medical emergencies.

Panda concluded by reaffirming IRDAI’s commitment to driving innovation and simplifying insurance offerings, ensuring that the industry remains transparent, efficient, and customer-centric.

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