3. E-Insurance:
• The application of internet and related
information technologies to the
production and distribution of insurance
services.
• In a narrower sense, it can be defined
as the provision of an insurance cover
whereby an insurance policy is solicited,
offered, negotiated and contracted
online.
7. METHODS OF E-INSURANCE
WEB SITES : Almost every insurance company has
homepage providing information about the company
and products. However, these homepages are little
more than passive online versions of the
company’s brochures. ·
PRODUCT PORTALS : Portals are sites that provide a
collection of links to sites of interest.
9. METHODS OF E-INSURANCE
Point-of-Sale Portals : Unlike most other
commodities, the sale of insurance products is
initiated by the sellers. Certain sites exploit this
approach by offering insurance products while selling
insurable goods such as cars or while providing
information on health or college education.
Intermediate Brokers : Brokers are intermediate sites
that do not sell insurance products directly but
assist clients in matching their requirements with
the policies offered by insurance companies.
10. METHODS OF E-INSURANCE
• Reverse Auction : In this case, the client is
usually an organization interested in group
insurance. The client announces its requirements
and selects the best offer made by an insurance
company.
• Aggregators : Aggregators are sites that compare
quotes from different insurance companies. The
service is often supplemented with general
information on products as well
11. Scope of e-Insurance in Nepal
GLOBALISATION: International companies are entering
into the market to acquire market share.
• NEW ENTRANTS: In the financial services industry the
major entry barrier is distribution, which the
Internet can overcome.
12. Scope of e-Insurance in Nepal
• CHANGING NEEDS OF CONSUMERS :
The Internet may lead to products becoming more
customer-centric.
13. Challenges faced by E-Insurance in
Nepal
• Resistance to change
• Lack of technology
• Complex Insurance cycle
• Unique requirements among states
and jurisdictions
14. What can be done?
Insurance industry is gearing up for e-insurance
To succeed as e-insurer,
it has to be cheaper and
better than the traditional offline option
Insurance is an information intensive enterprise and
is thus suitable for e-commerce
15. What can be done?
• To succeed in this market, you must become a
master of online funnel.
16. What can be done?
Insurance is an information intensive enterprise
and is thus suitable for e-commerce.
Adopting e-insurance is an incremental process,
not an event, and should stem from a fundamental
need to re-engineer and modernize business
process.
17. What can be done?
Websites functionality requires a proper definition of
Customer and product profiles.
Power of internet should be harnessed to improve
Consumer protection and education and awareness
building.
It appears that insurers are unfortunately not making
the best out of the web.