Consumer-centric insurance products were missing in market: Policybazaar’s Yashish Dahiya
Yashish Dahiya, co-founder and CEO, Policybazaar.com, says the biggest impediment to insurance growth was lack of consumer-centric products in the market
When Policybazaar.com commenced operations in 2008, our business model focused on establishing and strengthening the digital channel of distribution, which was weak then and an alien to the consumers. It not only required trust-building efforts on our part to convince the consumer to use this channel for making an insurance purchase, but also for insurers to accept that digital channel would add value to their bottom-line in the long run. During the journey, we realized that focusing solely on a distribution channel would not be effective in building a robust and sustainable business. It was then that we realized that the biggest impediment to insurance growth was lack of consumer-centric products in the market, especially in the segments of death, disease, and disability.
Essentially, this was the click moment for us. Therefore, armed with our understanding, we set out to address the root cause. We sat with our insurance partners and armed with scientific data on consumer behaviour and preferences, creating products, which consumer particularly required. The result is for all to witness.
In our case, one simple step has accelerated our growth. Today we carry out nearly 300,000 transactions a month, account for 25% of India’s life cover and attend to 100 million visitors a year. This wouldn’t have been possible without focusing on listening to consumer needs and creating products that they need. What also worked in our favour has been the existing government’s focus on digitization and promoting financial inclusion through literacy programmes. Additionally, we have had good supportive investors, and 80% of the founding team still continues to be on board.