New introduction is an outcome of a partnership with Meta and Infobip
· The Payment Solution will enable consumers to make payment for renewal of Tata AIA products using Credit card, Debit card or Net banking option on the WhatsApp platform.
· This ‘first of its kind’ launch enables consumers to make payments beyond UPI option on Tata AIA’s WhatsApp platform.
· The initiative also expands Tata AIA’s comprehensive range of services on WhatsApp, including policy document, managing claims, fund value updates etc.
Bengaluru: Tata AIA Life Insurance Co. Ltd. (Tata AIA), one of India’s leading life insurers, has launched a premium payment service on its WhatsApp platform marking the first-ever launch of its kind in the life insurance sector. Previously limited to UPI-based transactions, Tata AIA consumers can now use a wide range of payment methods within WhatsApp. Using WhatsApp, policyholders can now easily make renewal payments through credit card, debit card, and net banking options. Policyholders can now pay premium up to INR 1 crore, instead of the earlier limit of INR 2 lakh.
In June 2023, Tata AIA introduced industry-first digital payment feature provides an instant premium payment facility through WhatsApp and UPI-enabled payment options.
There are 27 services offered by Tata AIA on WhatsApp for its consumers. These include soft copies of the Policy document, premium certificate, claims initiation and updates, renewal premium payments, contact information update, service request tracking, NEFT update, unit statement, and fund value updates. The Company also has an interactive service bot called TASHA that responds to consumer queries 24 hours a day, 7 days a week.
Commenting on this occasion, Sanjay Arora, Executive Vice President & Head of Operations of Tata AIA, said, ” We are excited to set the trend in the industry with the introduction of the new, consumer centric payment options on WhatsApp. This innovative initiative is part of our ongoing commitment to providing consumers with convenience and ease through cutting-edge technologies. We will continue to offer market-leading solutions that will help us always deliver superior customer experience.”
By using this convenient and seamless payment process, consumers can now pay renewal premiums from their familiar WhatsApp interface and thereby enjoy more flexibility. Payments can be made quicklywithin a minute , and consumers receive immediate acknowledgement. Additionally, the integration of credit card, debit card, and net banking options eliminates the need to use the Unified Payment Interface (UPI). More than 2 billion people in over 180 countries use WhatsApp to stay in touch with friend and family, anytime and anywhere*.
Further, to add to the convenience of its existing consumers, Tata AIA adopts an Analytics-driven, Decile based approach to improve its renewal premium collections. The company has enabled renewal premium collections via multiple Digital modes and enhanced its language capability. Communication drive via WhatsApp and SMS services have been automated campaign management system, enabling the Company to study behaviour and modify communication channels suitably.
In FY23, Tata AIA ranked first in four of the five Persistency cohorts, including the 13th Month Persistency. The 13th Month Persistency ratio (based on premium) of the Company improved from 87.76% in FY22 to 88.1%. Additionally, the Individual Death Claims Settlement ratio improved from 98.53% in FY22 to 99.01% in FY23. In Q1, FY24, the Company achieved the industry-best Persistency performance across all 5 cohorts (13th, 25th, 37th, 49th, and 61st month).
The Persistency ratio measures the percentage of policy renewals each year, indicating their confidence in the company. Therefore, experts always advise consumers to check this key metric when choosing a life insurance company. One of the key Persistency metrics is the 13th Month Persistency ratio or the percentage of consumers renewing their policies one year after buying them. This is most important since unsatisfied consumers are unlikely to renew their policies. Further, one should evaluate the insurer on other periods including the 25th, 37th, 49th, and 61st month, thereby gauging the quality of service and support over a longer period.
