India Insurtech Landscape and Trends – Driving towards Insurance for All

Alpesh Shah Pranay Mehrotra Vivek Mandhata Suhail Bhansali Prerak Sethi Subhajit Mandal Shwetank Verma

After strong funding in 2021, global insurtech funding witnessed a slowdown in 2022. However, funding is still at 4x of 2016 levels. The Americas and Europe were the highest impacted geographies. India too saw a drop in funding but was relatively robust compared to global trends with funding still at 2x of the 2020 levels. With this context, BCG in partnership with the India Insurtech Association (IIA) has released the third edition of the India Insurtech report, "India Insurtech Landscape and Trends – Driving towards Insurance for All" which throws light on the current trends in the industry, lays down the key levers to drive insurance for all and identifies key implications for all stakeholders.

The report focuses on the bold vision of the regulator and the industry to drive "Insurance for All". The 5 critical levers to enable the "Insurance for All" vision are: Awareness - Concept and Need sensitization, Product offering and affordability, Strengthened distribution, Enhanced customer experience and trust and Regulatory Enablers. For each of these levers, the report provides examples of innovations across the world as well as in other related industries. The report also highlights how Insurtechs are driving innovation across the 5 themes and provides examples of Insurtechs and impact generated where implemented. The report also lays down key implications for the industry stakeholders going forward. There is potential for higher collaboration between insurers and Insurtechs. At the same time, Insurtechs should build distinctive solutions for large number of opportunities across the ecosystem. Insurers on the other hand can participate in joint innovation and mentorship. Lastly, the regulator can continue to enable innovation and collaboration.