Most insurance buyers want a physical copy of the copy: Survey

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A large majority of insurance buyers prefer a physical copy of the document even though more convenient digital facilities are available, according to the findings of a survey.

About 82% of buyers preferred a physical copy to digital copy, reported the Times of India, quoting a survey conducted by Bombay Master Printers Association (BMPA).

It surveyed 5,900 responses, age groups and regions. While 56% of the respondents were in the age-group of 18-40 years, 28% in 41-60 years, and 14% were 60 and above.

Why physical copy is preferred

Many insurers insist on original paper documents for processing the claim and therefore issuing physical copies of the policy should be made mandatory, it said.

The policy certificate contains critical details of the insurance cover laying out the benefits, terms and conditions, the procedure to file for a claim if needed, and the contact details of the insurer.

The survey said many insurance companies have made physical copy optional and insist on physical copy for processing a claim, the survey said.

An insurer has to issue both physical and electronic insurance certificates to policyholders as per regulation 4 of IRDAI (issuance of e-insurance policies) Regulations, 2016. However, as an interim measure in view of the Covid-19 pandemic, IRDAI had allowed insurers to issue only electronic policy documents.

Benefits of e-insurance

Some of the advantages of digital policies are ease of access, convenience and speed of delivery. It also reduce the cost of issuing and maintaining the policies

Apart from safety benefits, an E-insurance account allows you to buy a new policy without submitting KYC documents. Your E-insurance account number substitutes for these documents. Paying your premiums also becomes easy as you can do it online through your online account. You don’t have to physically go to the insurance company and pay it in cash or cheque.

The tracking feature offered by E-insurance accounts is arguably the biggest blessing for policyholders. It sends an annual statement of your account with details of all the current insurance policies held by you. The online repository makes it easier for the insured person to monitor their insurance policies and decide on increasing the coverage as per the needs.