This aims to help them on better risk segmentation through data, analytics and technology. This would be the first data repository or data bank in the country for insurers to better assess risks.
This platform will host policy and claims data, and will have the complete history of an individual. Further, insurers can check the seller history of an agent, branch of a bank, broker, direct sales employee. These would include claims, lapse and churn history and patterns, apart from sector-wide perspective.
Insurance-related fraud in India is a big source of worry for life and general insurers alike. Sectoral officials say there are several organised entities which try to take fake insurance on either on the names of people who do not exist or are dead. They operate with fake names in several pockets in the country.
A report by Indiaforensic estimates fraud alone cost the insurance sector USD 6.25 billion a year, about 9% of premiums. These include misrepresentation and non-disclosure of relevant facts in the application, collusion between agents, diagnostic centres or investigators and the applicants/beneficiaries, and stacking of policies by beneficiaries.
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