Life insurance players report 20 percent increase in sale through these channels.
After IRDA’s new regulation forced the insurers to change their product basket, it has instigated them to take extra efforts to develop other modes of sale. Life insurers are currently busy strengthening their sales through online and mallassurance.
“It is usually difficult to sell a policy in a mall because shoppers are in a different mood... But we get an appointment from them to meet them at their office. This has helped us to increase our term policy sales,” said Ashok Kumar, life insurance agent, Kolkata.
The insurers are making extra efforts to make online life insurance popular among customers. HDFC Life Insurance recently launched online term plans. To push online sales, insurance companies are adding more benefits to make their online term plans more attractive.
A simple term plan involves high life cover for low premium. Since these plans do not have any investment components and maturity benefits, it becomes tough for the sales agent to sell such policies. Insurance companies are creating campaigns to spread awareness about these products.
“Internet and malls are the best place to create awareness; so we are regularly coming up with new campaigns to make the people aware about term policies. Our sales have increased by 18 percent through such efforts,” said an official from ICICI Prudential Life Insurance.
The top five insurers have reported a 20 percent rise in their sale through these channels and expect these channels to account for a substantial share eventually.