The insurance firms these days are dishing out personalized insurance plans which are customized insurance products catering to the unique needs of each individual. With the coming of the latest technologies and analytics, it has become easier to dish out customized insurance plans which cater to the needs of each individual.
Insurance sector which is going through a lot of transformation due to the technical advancement and AI has continued to grow in the recent years. With the customers becoming more discerning, they require something more personal which caters to their needs.
Innovation in the insurance sector will tempt the companies churn out products which cater to the individual needs of every person. As the insurance sector grows the main focus will be on the insurance products that can be bought over the counter by the individual customer.
The main trend across all the countries be it The UAE and India is the demand for the personalized products that cater to the needs of the individuals.
The benefits of personalized insurance plans are many and the customers are more likely to be satisfied as the plan is tailor made to his or her needs. All this will lead to more customer loyalty, retention and referrals.
Muralikrishnan Raman, CFO and Acting CEO, Al Wathba Insurance. Courtesy: Al Wathba Insurance
Seen elaborating about what exactly is personalized insurance plans was Muralikrishnan Raman, CFO and Acting CEO, Al Wathba Insurance who said, “Personalized insurance policies are customized insurance solutions tailored to the unique needs and circumstances of individual clients. Unlike traditional one-size-fits-all insurance products, personalized policies use data analytics, customer insights, and advanced technologies to create bespoke coverage that aligns with each client’s specific lifestyle, risk profile, and financial goals. In today’s rapidly evolving world, personalized insurance is indeed the need of the day. With the increasing complexity of modern life and the diverse needs of individuals, personalized insurance offers a more relevant, efficient, and customer-centric approach to financial protection. This not only enhances customer satisfaction but also builds stronger relationships between insurers and clients.”
Going on further Raman explains the benefits of personalized insurance plans: “Enhanced Coverage Relevance: Personalized policies ensure that clients receive coverage that is specifically suited to their individual needs, avoiding unnecessary or irrelevant protections. Improved Customer Satisfaction: Tailored insurance solutions demonstrate a deeper understanding of customer needs, leading to higher satisfaction and loyalty. Cost Efficiency: By focusing on the exact coverage required, personalized insurance can often be more cost-effective for clients, eliminating the need to pay for unnecessary add-ons. Flexibility: Personalized policies can adapt to changes in the client’s life circumstances, providing continuous relevance and value. Innovative Risk Management: Leveraging data analytics and insights allows insurers to better understand and manage risks, leading to more accurate pricing and coverage options.”
“By utilizing advanced data analytics and customer insights, insurers can gain a more precise understanding of each client’s risk profile. This enables the creation of highly accurate and relevant coverage options, reducing the likelihood of under-insurance or over-insurance. Personalized policies can also adapt to changes in a client’s life or circumstances, ensuring that risk management strategies remain effective over time. Additionally, the detailed and individualized approach helps in identifying potential risks early and implementing proactive measures to mitigate them, ultimately leading to more stable and secure financial protection for clients,” concludes Raman.
Personalized insurance plans are more relevant in the today’s competitive scenario as they are loaded with benefits and if the insurer wants to remain competitive in the todays market.
