ICICI Lombard General Insurance, India’s leading private sector non-life insurance company has partnered with Plum, India’s fastest growing employee health insurance startup, to re-imagine and co-create India’s first technologically backed group health insurance products. With the use of latest technologies, ICICI Lombard and Plum intend to solve four major areas of group health insurance – real time pricing, onboarding, policy management and claims.
The penetration of health insurance across India is abysmally low, with 0.29% of GDP being spent on the health sector. Not surprisingly, India witnesses one of the highest out-of-pocket expenditures. There is an enormous unmet demand for healthcare, with only 2% of the total healthcare expenditure being currently covered by insurance providers. Several initiatives introduced by the Indian government like Ayushman Bharat, IRDAI’s Sandbox and National Health Stack are initiatives in the right direction. When it comes to the group health insurance market, which covers about 15% of the overall insured population and witnesses 25% year over year growth, it has been largely following the status quo. In light of this, this partnership between ICICI Lombard and Plum is aimed at benefiting the group insurance market thereby increasing insurance coverage in this sphere.