About the Health Insurance Industry –
While the current market sees more than 21 private non-life players in the private space and 8 exclusive private players in the health insurance space trying to capture a sizable market share, the nationalized service provider (6) remains a strong competitor. In addition to this the business dynamics are such that the overall market on an annual basis which is to the tune of roughly 10,000 Crs sees close to 85 % of the business renewing with the existing service provider itself. This narrows down the opportunity of the fresh business actually being seriously fought in the market to approximately 1500 odd Crs. With the SME and the start-ups being the driving force of Indian economy, the opportunity to cater to these segments is immense and is increasing manifold year on year. The challenge here therefore remains as to how we capture a larger share of the opportunity by developing specific solutions to cater each segment of the business. Also by creating an inexpensive and standardized solution to increase the reach into the pockets of channel partners across the country to harness on their captive business and explore new opportunities with them.
Market Opportunities – With the advent of medical advancements, lifestyle changes, change in Indian socio-economic scenario and Indian healthcare space, and the insurers are facing challenges to cater to the needs of this diverse clientele. Increasingly Indian customers have started considering health insurance partners as extensions of health advisers. In this scenario it becomes extremely important to understand their psyche and then provide tailored solutions with wellness benefits which would help them meet their end objectives and bring in profitable revenue source for the company.
About the Aditya Birla Health Insurance –
Aditya Birla Health Insurance Co. Limited (“ABHICL”), is a collaboration between Aditya Birla Capital Ltd. (ABCL), holding company for the financial services businesses of the Aditya Birla Group and Momentum Group Ltd of South Africa. ABCL holds a 45.89% stake while Momentum Group Ltd holds 44.08% in ABHICL.
ABHICL commenced its operations in October 2016 and is engaged in the business of health insurance. The company’s current product portfolio includes unique offerings including chronic care and incentivized wellness. Covering over 24 million lives, ABHICL has a nationwide distribution presence in over 5000 cities through branches and partner offices, 20 bancassurance partners and over 163,000 direct selling agents. ABHICL has scaled and diversified digitally enabled distribution, and bancassurance available through more than 224+ branches & over 67 digital partners, covering customers across the country through multiple contextual byte-sized and contextual products.
ABHICL has entered the competitive health insurance market with an aim to expand the category to wider customer segments, beyond the ones that health insurance companies traditionally have marketed to. As the 6th entrant in a category with well-established players, ABHICL is creating differentiation and equity for itself though the unique business proposition of “Health Insurance for All”, a one of a kind proposition in India at the moment. This is a philosophy that is being built through every single consumer touch point and into every single backend process of the company to ensure a customer’s experience of our proposition is continuous and seamless.
ABHI’s unique offering to market includes proposition includes -
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A Comprehensive Incentivized Wellness Program that will attract the young and health conscious and will motivate, guide and reward them to stay healthy
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A Chronic Care Management Program to cater to the unmet needs of a growing Indian population of those suffering from chronic lifestyle conditions like Diabetes, Asthma, High Cholesterol and Hypertension from Day 1
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ABHICL serves as an enabler and influencer of health and healthcare choices that customers make, in addition to being a payer of healthcare expenses. Thus, ABHICL would act like a much needed catalyst to grow the prevalent health insurance landscape in India through product innovations and a wider choice of consumer relevant products.
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ABHICL’s vision has always been digital. The company has been successful in adopting paper-less approach right from identifying to on-boarding to delivering seamless experience of its customers & employees.
Key Challenges for the role –
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The business environment is becoming volatile. Defining and communicating acceptable risk at all level in complete and clear manner is difficult.
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The interdependency of risk factor & external & internal events have increased which is making risk more volatile & less comprehensible.
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In a competitive business environment ensuring that business is done in rightful & compliant manner is important to protect shareholders reputation but difficult.
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The regulatory environment is changing at fast pace. With the dynamic market conditions & changing regulatory aspects carrying out correct & timely interpretation of the revised regulatory framework is crucial to proactively advise to amend business plans to achieve business objective.
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Ensure regular and adhoc regulatory reporting is submitted without delay
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Advertisement are approved in compliance with Policyholders’ Protection Regulations and master circulars.
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Conduct compliance reviews to provide assurance to the managment
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Carry of Anti Money Laundering reviews on monthly basis and reporting to the regulatory to comply with the regulations.
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Providing advice to stakeholders on various regulatory aspects relating to regulations,
internal processes, and business models of the company. -
Training and awareness: Engaging with stakeholders to create awareness of extant regulatorycompliance system workflow.
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Updation of compliance checklist on regular basis
Major challenges faced -
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Dynamic and changing regulatory landscape requiring continuos monitoring and intepretation across all functions.
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Balancing Compliance & Business strategic decisions - enabling business innovation while ensuring full regulatory adherence without late entry in market and sustaining competitive edge.
