MUMBAI, 23 DECEMBER, 2022 (GPN): The views of Satishwar B, MD & CEO, Aegon Life Insurance on the outlook and budget expectations for year 2023

By Satishwar B, MD & CEO, Aegon Life Insurance

Budget Expectations 2023

In future, with the support of 5G internet connectivity, and more cross-industry tech partnerships, the AI engines will become smarter at understanding the needs of the customers, making buying insurance as easy as buying a T-shirt online. The uptake of life insurance products is increasing. I am sure that more people will include insurance products in their financial portfolios in 2023.. Incentives like a GST exemption or a reduced GST slab can further help in meeting the needs of consumers. Pension/annuity proceeds should be made tax-free in the hands of policyholders, or a deduction for the principal component should be allowed. Further, an aggregate deduction of up to Rs 1.75 lakh, for the premiums paid for life and health can be introduced to nurture the eco-system of insurers, insurtechs and consumers.

Outlook for 2023

Technology is revolutionising the way insurance is bought and sold, and the year 2022 has been crucial for this transformation. Initiatives like ‘Use and file’ are especially beneficial to digital insurers to swiftly meet consumer demands through innovation. The amendments to the ‘Regulatory Sandbox’ will also enable them to try out and optimise new products more easily.

This year, we saw a rise in savings insurance plans and term plans with features like ‘special exit value’, which added a money-back feature to the traditional term plan.

New technologies like AI and fully-digital journeys are opening up opportunities in underinsured segments – like self-employed individuals. Buying journeys becoming simpler and more intuitive, and digital underwriting will allow digital insurers to scale rapidly. 2022 also saw newer avenues of digital distribution emerge with insur-tech partnerships in order to make insurance more accessible.

Our focus, in the years to come, should be on building on each other’s strengths to realise our collective dream of ensuring ‘Insurance for all by 2047’.  A dream that seems achievable with every passing day.Ends