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Redefining The ‘Healthy, Wealthy And Wise’

Health and wellness above all is the most important facet of our lives today and life insurers who embrace wellness in their offerings are set to become highly “relevant insurers”.

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The Covid-19 pandemic has been a world-changing event that nobody predicted and in the light of this health crisis, consumers started relooking at physical and financial wellbeing to mitigate challenges.

Life insurance has always played a vital role in people’s lives and their family’s finances and therefore it is imperative that life insurers must enhance their policy offerings and offer customers more sustainable and beneficial returns.

Embracing connected wellness in life insurance

A key lesson that Covid-19 taught us was to prioritize health and wellness above all. As life insurer, develop more relevance and connection with its customers by keeping up with the changing consumer requirements. Health and wellness above all is the most important facet of our lives today and life insurers who embrace wellness in their offerings are set to become highly “relevant insurers”. They will be involved closely and meaningfully in the daily lives of their customers1. Simply put, connected wellness features will help insurers link number of digital devices, wearables, apps, phones, with sophisticated analytics systems. This will help life insurers encourage policyholders to lead healthier and fitter lifestyles.

Building connected wellness into life insurance offerings is a long-term strategy and requires significant digital might - new processes, tools, skill and talent. Often insurers are required to deploy a cloud-based ‘wellness’ platform that can be accessible to customers online or as a mobile app. With such a stage, the association between the shopper and the guarantor is improved multifold. The platform also includes a ‘wellness score’ for the user, which on the basis of health parameters achieved, helps them earn renewal premium discounts which further motivates them to lead a better lifestyle every day.

Building wellness based discounts into renewal premiums, a rewarding benefit or both customers and life insurer

As with any customer-centric offering, life insurers need to recognize that most consumers think short-term and demand instant gratification. While health and wellness results take time to manifest physically, it is important that life insurers weave in existing benefits, rewards and incentives in their connected wellness offerings to keep the customer motivated.

Insurance firms are drawing their customers through various wellness programs. Offers such as dedicated health assessments will help build a long term relationship with the customer

What are the benefits of integrating this approach?

Today, connected wellness offerings in insurance are positioned to become more relevant and sought after by customers. Research shows that around 65% of millennials globally would consider a connected life insurance product while 78% are interested in insurers helping them, or their aged relatives, live safely

in their homes2. By accepting a functioning job in advancing health among policyholders, life back up plans will actually want to make an item or administration that their clients will esteem.

Furthermore, this will helps life insurers improve their risk assessment and pricing. The same can help extend customers’ lives and reduce claims costs substantially3.

Transition to a secure and healthy future

While there have been several disruptions brought about by the pandemic, it has also realigned our goals- importance of family, relationships and wellness. Another priority was owning an apt life insurance policy and this has helped many families tide over uncertainties during the year. But do you know what the common link here is? It’s YOU– in your wellbeing and good health lies your family’s happiness.

Changing to a monetarily secure and solid future is the new typical. Irrespective of the many more changes that Covid-19 may bring, you can make a difference in the lives of your loved ones by committing to a positive and healthy living.

Disclaimer: The views expressed in the article above are those of the authors' and do not necessarily represent or reflect the views of this publishing house. Unless otherwise noted, the author is writing in his/her personal capacity. They are not intended and should not be thought to represent official ideas, attitudes, or policies of any agency or institution.

Aalok Bhan

Director, Chief Marketing Officer, Max Life Insurance

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