This week we had the pleasure to have a digital video conversation with Sankar Mohan, President of Interlink Insurance and Reinsurance Brokers. This is a part of our latest series - #PeopleOfInsurance.** Here, we’ll be sharing insights, opinions and stories from people of the insurance industry. Whether they have years of experience in the space like today’s interviewee or have just joined the insurance industry. In 40 years of being in the insurance industry, Sankar has seen it all and done it all. He started his career with Oriental Insurance in 1981 and from 2000 then went on to be a part of the private sector of the Insurance industry, as an Insurer and a Broker. All along, he has been heading business in various capacities, including his entrepreneurial stint as MD & CEO of Acorn India Insurance brokers. During this changing time in the insurance space, we wanted to understand what an expert believes the future of insurance in India looks like and what is leading those changes. Luckily for us, Sankar was kind enough to share his thoughts that were filled with wisdom and enthusiasm for the industry. #### Our today’s question is - What do you think the future of Insurance will be like? **Sankar Mohan:** I believe the future for the insurance industry is always bright. Basically, insurance is the handmaid of commerce. Insurance started as a mutual and then evolved as per the needs of the changing times. It is more about the function of numbers and the geographical spread of risks. ##### **_\[bctt tweet="Insurance is the handmaid of commerce, Sankar Mohan."\]_** So, as the world evolves and newer risks emerge insurance will keep expanding its offerings to support business. At the end of the day, the primary objective of insurance is to provide protection to the balance sheet of the business. We’ve seen this throughout the history of insurance. Overall, there are three major eras of evolution in the history of General Insurance in India: \- Pre Nationalisation days (Until 1972) \- Nationalisation days (1973 – 2000) \- Now. (2000 onwards…) Prior to 1973, there were 107 companies in India transacting general insurance business in an unregulated environment. General Insurance was nationalised effective from 1st of January 1973. A total of 107 companies were merged to make 4 Govt companies. At that time the focus was on servicing the clients and they were not competing on pricing or the structuring of products. All companies offered similar products which meant that the customer did not have many choices. Since then insurance has evolved tremendously. From the 2000s, India opened up their space for private players including foreign companies. The focus of the Insurance fraternity is now towards simplifying the products and process as a major differentiation in the customer service. Just to illustrate, the process to get an insurance policy has come down from 2-3 months to 2-3 days; many of the mass products can be bought online at the click of the button, without waiting for the paper forms. Same with Insurance claims. Digitalisation has made the life of the common man much easier whether it is buying Insurance or getting claims. The claims started moving towards cashless processing for the popular products of health and motor insurances. Opening up the insurance sector has opened up our boundaries in a real sense. Today we can buy the most contemporary covers right here in India.  #### What do you believe will fuel the growth in the coming years? I believe changing landscape of commerce will be the major driver of growth for insurance. #### 1) Insurance is highly sensitive to the risk that the business is exposed to and they tailor-make solutions. Cyber Insurance for business and common man, health insurance for Covid 19 (Corona), etc could be the most recent ones to show responsiveness. Cyber insurance covers the loss for the business as well as liability towards the third party. For medium-sized and large business, we now have effective insurance covers for property damages, loss of profit, denial of access following calamities etc. Liability Insurance takes away most of the anxieties of business houses, especially when they expand their business beyond the shores of India. There are a specific set of protocols for structuring Multinational Insurance requirements. #### 2) Other growth drivers could be Govt policies to help the marginalised society. Crop Insurance and health Insurances are cases in point.  This could help the insurance penetration in Inda. ( Friendly helper - Crop insurance is a comprehensive insurance plan that is based on the yield and the losses a farmer faces due to production problems.) #### 3) The opening up of trade credit insurance Earlier it was thought bad debts were business risks and not insurable. However, trade credits are growing up as one of the major supports for the business houses that are trading on credit. #### 4) I believe the adoption of technology is also going to be the key for the insurance industry It will bring the best-in-class service to its target clients. However, this has to be supported by an equally flexible mindset in foreseeing the needs of their clients. ##### _\[bctt tweet="_Insurance has always been dynamic and ever-evolving. Therefore, it will keep evolving in the future too_, Sankar Mohan."\]_ It is safe to say that I am optimistic about the future of the insurance industry, it has always been dynamic and ever-evolving. Therefore, it will keep evolving in the future too and will continue to keep us on our toes. \------------ There you have it, an insight into the mind of an expert in the insurance space. We too are extremely hopeful about how insurance is adapting and innovating for the new age. If you’d like to stay in touch follow us on **Linkedin** and if you want to hear more from experts in the space [**sign up to our newsletter.**](https://assurekit.com/)