92 POS | Case Study - Micro Credit Solution

Micro Credit Solution

Executive Summary

Insurance is one solution to help low-income households and microfinance institutions to manage risks. This enables the poor to raise their income levels and their living standards. Life micro-insurance helps the rural population by creating an awareness of proper risk management and saving instruments.

Micro-insurance also facilitates outreach to a stratum of the population in developing countries that has traditionally been neglected.

Micro finance based life insurance schemes help the low-income households, their micro enterprises and small businesses, and enables them to raise their income levels and improves their living standards.

Challenges

The VISIONTEK customer required a credit renewal system for their micro insurance agent network across India. They were carrying out their remote operations of renewal collection manually using paper-based processes and courier the same back to their head office.

The implications were potentially many with the earlier system. There was no updated data on their central servers. A dependency on a third-party courier service increased the chances of data being lost. The second-time manual data entry of transaction at the head office augmented potential errors.

Solution

VISIONTEK terminal solution helped the customer eliminate paper-based processes and streamline their business procedures. Insurance agents were equipped with handheld VISIONTEK POS terminals. The handheld was pre-loaded with indigenously developed custom-made, multi-lingual business application modules to capture on-site data and update the central servers directly through the Internet.

The POS terminal now enables the insurance agents to reach the remote potential location, recommend a suitable insurance policy with the correct premium, and issue the policy then and there on the spot. During the signing process the POS terminal collects the biometric signature traits of the person signing and creates a biometric profile. Any future changes or additions to this policy will require a biometric signature authentication of the specific signatory. Once all information and signatures are collected, the policy is added to the main server in real-time and an approval is accepted by issuing a policy number. The agent can then email/fax or print a customer copy, and the company only archives the original electronic format.

Even for insurance premium collection, the agent now instantly raises the receipt and accepts the payment. An instant online synchronization with the central computer server using GSM/GPRS/CDMA ensures instant flow of information across the organization via their centralized data center.

Business Benefits

VISIONTEK POS improved the reliability and efficiency of the micro-insurance operational process. This approach using transaction terminal streamlined office and field procedures that ensured faster policy activations and credit renewal processes.

The electronic nature enabled the organization to save money by going paperless and close deals faster than their competitors.

The VISIONTEK POS terminals offered convenience and the ease of integration into existing IT environments. The VISIONTEK customer is now also assured of a guaranteed ROI within a year.

About Customer

Tata AIG Life offers a broad array of life insurance products to individuals; associations and businesses of all sizes, with a wide variety of additional coverage to ensure our customers can find an insurance product to meet their needs in India.

Micro Credit

Tata AIG Life is a joint venture of the Tata Group and American International Group, Inc. (AIG).