The Indian insurance market is undergoing a rapid change. The focus on digital cannot be limited to customer acquisition since customer engagement is the key. However, some customer segments depend on traditional insurance channels of interaction.
Problems With Traditional Insurance
With customers split into different segments, insurers require hybrid methods to satisfy the needs of all. A reimagined approach to the network and methods of interaction to provide seamless and frictionless experience is the need of the hour.
Phygital, as a paradigm, challenges the cascaded approach of traditional insurance and bridges the gap between both the worlds effortlessly.
The insurance industry is expected to touch sales of US$ 280B by 2020. However, there is still a trust deficit between customers and insurance companies primarily due to suspect products with unrealistic returns being sold in the past decade. This causes the customer’s experience to be very different both online and offline for the same customer.
The amalgamation of ‘Physical’ and ‘Digital’ or ‘Phygital’ experience can help the insurance industry amplify their yield, manifold. Phygital models can enhance the insurance buying experience. It can increase customer interactivity in insurance and enhance the overall customer experience. The sole objective of Phygital is to provide the ultimate 360-degree experience, i.e focus on relationships, life-cycle, and even life-stages.