Finance Minister Calls for AI-Driven Revamp of Public Sector Insurance

Finance Minister Nirmala Sitharaman has called on public sector general insurance companies to harness artificial intelligence (AI) for enhanced risk assessment and to address customer grievances more efficiently. This directive came during a review of the financial performance of these companies.

Sitharaman emphasized the importance of digital transformation, urging companies to adopt AI-driven systems, especially for motor and health insurance claims. She highlighted the need for innovative products addressing new risks like cyber fraud and stressed the importance of robust underwriting practices aligned with global benchmarks.

By advocating for strategic collaborations and advanced analytics, the Finance Minister seeks to broaden market reach and improve customer experience. Companies were instructed to implement these strategies promptly and regularly review their progress to ensure a competitive and sustainable insurance sector.

(With inputs from agencies.)