Max Life Insurance Forays into E Commerce

Max Life Insurance Forays into E Commerce

Launches First Ever Online Term Plan With Monthly Income In Addition To Sum Assured

Also introduces a ‘Comprehensive Accident Benefit’ Rider

 

New Delhi, 20 November 2013- Max Life Insurance, one of the leading life insurers in India,today announced its foray into the E-Commerce space. As the first step in its E-Commerce journey, the company announced the launch of the ‘Max Life Online Term Plan’.The plan is uniquely designed to provide comprehensiveprotection through three different death benefit options — the tax free ‘level’ or‘increasing’ monthly income in addition to one time sum assured and the traditional option of onetime tax free sum assured.

Speaking about the E-Commerce foray, Mr. Rajesh Sud, CEO & Managing Director, Max Life Insurance, said,“The Max Life Online Term Plan is born out of customer insights, focuses on ease of purchase, and provides adviceat every step of the purchase process. This plan with  unique offerings is only the start and an attempt to bridge the existing gaps in the online term plan offerings in the market and enter the vast and yet under explored territory of E-Commerce.”

The E-Commerce space in India is currently valued at ~Rs. 60,000 croreand has been growing at an estimated 30% CAGR. The online life insurance space today is over Rs. 200 crore, and Max Life Insurance’s foray into this territory is an endeavour to leverage this very opportunity of the growing market.

“At Max Life Insurance, E-Commerce is a new distribution channel that will offer a comprehensive range of ‘Over-The-Counter’ life insurance solutions to those who are internet savvy and will help increase the width of our distribution capabilities. E-Commerce will help us in reaching customers whom we were not able to efficiently connect with, through our existing channels.

In a proprietary study conducted by Max Life Insurance, revealed an unaddressed consumer need regarding inappropriate utilization of lump sum death benefits. As per the study, 62% respondents felt that planning for financial protection against unforeseen circumstances is complete only if the product offers lump sum death benefit along with a regular income to meet daily expenses after the loss of the breadwinner. Through the Max Life Online Term Plan, the Company has tried to address this need by introducing featuresof three different death benefit options, including increasing monthly income in addition to sum assured.

 

Innovative Product Features based on customer insights

1. Death Benefit options - The term plan offers the flexibility of choosing from the following death benefit options:

1. Option 1 -Sum Assured
2. Option 2 —Sum Assured plus level monthly income
3. Option 3 —Sum Assured plus ‘increasing’ monthly income

While level monthly income is meant to take care of the monthly expenses, the ‘increasing’ monthly income also takes into account growing household expenses due to inflation. All these payouts including monthly income are tax free.

2. Comprehensive Accident Benefit Rider- This riderensures additional protection and the benefits will be payable either on unfortunate death or dismemberment due to accident of life insured.
3. 30-Day Free-Look Period - The‘Free-look’ period has been extended to 30 days for this product solution.The policyholder will have the opportunity to cancel the policy within 30 days from the receipt of policy pack, if he/she feels that the plan is not what he/she had initially opted for. In case of cancellation of the policy during the Free-look period, the policyholder shall be entitled to return of premium paid to the Company subject to deduction of a proportionate risk premium for the period of cover and expenses incurred towards medical examination and on account of stamp duty.

 

For more details please contact

Atul Malikram

0975502247