A Billion Lives Can Be Insured Only Through Digitisation

Life insurance products should be dejargonised and the ecosystem must become transparent to attract millennials, Sanjeev Nautiyal, Managing Director and CEO of SBI Life, says in an interview with Naveen Kumar. He also shares his views on how the segment has evolved, leading to significant changes in products and customer service. Edited excerpts:

How do you feel about selling through a digital-only channel?

It is a fast-growing segment and we have seen a high level of consumer interest. Our monthly web traffic grew 152 per cent in FY2018/19, compared to the previous year. Our products are also available on the portals of various aggregators. Online channels have growth potential, but we need to invest big in digital marketing to drive traffic, and the conversion rate is low compared to the online queries coming in. Nevertheless, going digital helps influence customers, and that works well when they buy products offline. Keeping in mind how things work for online consumers, a digital channel must be supported by on-ground presence. SBI Life operates a pan-India network, including its 922 branches and offices. We also run a bancassurance channel that works with SBI and other banks and offers a 1.21 lakh-strong agent network. Then there are corporate agents, brokers, insurance marketing firms and intermediaries.

Historically, the reach of life insurance was among the lowest in India. Has digitisation helped?