InsurTech to act as milestone in implementing Smart Bangladesh
“If all stakeholders related to InsurTech including BASIS, IDRA, and Bangladesh Insurance Association work together, the InsurTech sector will serve as a new milestone in implementing Smart Bangladesh,” said Planning Minister MA Mannan at programme titled ‘InsurTech – A New Milestone Towards Smart Bangladesh’ organized by Bangladesh Association of Software and Information Services (BASIS) at a city hotel on Tuesday.
At the programme, Planning Minister MA Mannan was present as the chief guest. Mohammad Zainul Bari, Chairman of the Insurance Development and Regulatory Authority (IDRA) was present as special guest and Sheikh Kabir Hossain, President of Bangladesh Insurance Association (BIA) was present as guest of honour. BASIS President Russell T. Ahmed presided over the programme.
Abu Daud Khan, Vice-President (Admin) of BASIS addressed the welcome speech and Fida Haq, Co-Chairman of BASIS Standing Committee on FinTech & Digital Payment, presented the keynote at the programme.
Planning Minister MA Mannan said, “We have seen the development of this country in the last 15 years under the leadership of Prime Minister Sheikh Hasina, which has brought a tide to the country’s economy overall. Insurance services in India contribute much more to GDP than ours. We are still learning. I hope that insurance services will act as one of the regulators in the development of our economy. The government is very generous in creating a business-friendly environment. A sector as sensitive as insurance services will be able to do business in this country with ease.”
IDRA Chairman Mohammad Zainul Bari said, “People have lost confidence in this sector due to limited knowledge about insurance and non-receipt of insurance claims on time. The insurance sector has a lot of potential so the use of technology can restore confidence. In order to make insurance to all, the insurance sector needs to involve the banking sector as well as BASIS to build an eco-system along with automation.”
Bangladesh Insurance Association President Sheikh Kabir Hossain said, “Insurance, Bangabandhu and liberation war are closely related. Insurance sector is the most neglected sector. Reliance on insurance company information and premiums is important when making budget proposals in developed countries. After Bangabandhu no one came forward with insurance that is why this sector is so neglected.” He urged BASIS to propose policies to bring insurance under technology as well as to propose policies on how to change the negative social mindset about insurance.
BASIS president Russell T. Ahmed said, “InsurTech will play an important role in implementing Smart Citizen and Smart Society, the two pillars of Smart Bangladesh. ICT is important from the centre to the edge of the country. To build Smart Bangladesh, it has to be smart in all areas and in this case, ICT will act as the nucleus. People’s confidence in insurance is still very low in this country. Insurance companies need to create mass awareness about this.” He also expressed optimism that the young generation of this country will be interested in working with InsurTech and will bring new InsurTech services. He also urged ICT and insurance organizations to work together on what kind of insurance is needed, what kind of technology is needed, how to motivate the new generation and how to increase the contribution of insurance to GDP.
However, IDRA has recently issued regulatory sandbox guidelines to involve the ICT in insurance services. With the issuance of ‘Insurance Development and Regulatory Authority Regulatory Sandbox Guidelines, 2023’, a new horizon has started in the use of information technology in insurance services. Through this, currently one crore insurance customers of the country will get quick and effective insurance services and insurance companies will be able to provide technical assistance in the insurance sector. As a result, InsurTech will play an important role in building Smart Citizen and Smart Society, two pillars of Smart Bangladesh. Overall, there will be growth in GDP.
