Company Profile

ICICI Prudential Life Insurance Company Limited (ICICI Pru Life) is promoted by ICICI Bank Limited and Prudential Corporation Holdings Limited. The Company began its operations in fiscal year 2001 and has consistently been amongst the top players in the Indian life insurance sector. The Assets Under Management (AUM) as on 31st March 2019 were `1,604.10 billion.  The Company operates on the core philosophy of customer centricity. It offers long term savings and protection products to meet different life stage requirements of the customers. It has developed and implemented various initiatives to provide cost-effective products, superior quality services, consistent fund performance and a hassle-free claim settlement experience to the customers. In FY 2015 ICICI Prudential Life became the first private life insurer to attain assets under management of `1 trillion. ICICI Prudential Life is also the first insurance company in India to be listed on NSE and BSE.

Business Challenges

Life Insurance contract is between the Policyholder and the Life Insurance company, where the Policyholder agrees to pay the premium for the agreed policy term and the Life Insurance company agrees to pay the Defined Benefit, on the happening of any of the events, viz., Surrender, Death, Maturity, etc.  Life Insurance Companies are committed to its Policyholders for accuracy in Pay outs and Charges as per prescribed terms and conditions of a policy. They do have Policy Administration System, to manage day-to-day transactions, under the policies. However, in the absence of not-so-strong and well-defined processes & manuals, it has been observed that UAT testing, before any new product launch, is not comprehensive. Not all scenarios, including Day 2 functionalities are being checked. This coupled with changes made by Policyholder, during the policy term, results in the breach of Regulatory Guidelines. Eventually, the innocent Policyholder is deprived of accurate Pay-out. This condition in the Life Insurance industry, warrants for a more robust and independent mechanism, to protect the Policyholders, as they are not technology savvy and over 99% of them will always accept, what comes their way.

While there are various control mechanisms adopted by Life Insurance Companies to monitor the liability side of the Life Insurance business, these mechanisms do not give a hundred percent & concurrent assurance to the stakeholders, due to it’s limited scope and approach.

Claptek’s Solution

Claptek’s iCAST Digital Twin (iDT) is an application which works parallelly to a Policy Administration System of any Life Insurance Company. It enables validation of all Pay-outs and Charges, through an independent mechanism, on real-time basis, before the payment is made to the customer. It facilitates the Protection of Policyholders’ Interest through accurate Pay-outs and Charges under the policy.

Major Benefits

The application not only allows for complete assurance on the payouts but also builds trust with customers and regulators to foster sustainable growth. This solution allows for strengthening the key pillars of sustainable growth in the following ways –

Financial Prudence
Companies can achieve highly efficient cost management & zero tolerance towards customer commits through reduction of complaints & service costs in view of accurate payouts and charges being paid to the customers.

Compliance
Zero non-compliance for internal and external regulations can be achieved as the systems are now in sync with the Use n File and Terms & Conditions. The application incorporates and validates any changes to the product, changes in modules, changes in statutory laws, IRDAI guidelines etc. on continuous basis to help insurers achieve zero non-compliance.

 Assurance
Higher confidence to all stakeholders including board members due to increased transparency.

 Value-Driven
Effective product design to provide real & sustainable value to customers as the application also assists companies in innovation through product performance monitoring.

 Integrity
Ultimately all this leads to fostering trust with all the stakeholders through good governance.