Immediately after the demonetization drive, Aegon Life Insurance Company’s online policy sales have gone up. According to Martjin de Jong, the Chief Digital Officer of Aegon Life Insurance Company, the online sales of the company have become double over the past year. Demonetization being the major factor, and many additional factors such as high growth in national income and increased awareness among young population about insurance have contributed to this improved digital sale. Currently, Aegon Life Insurance Company derives 35% of its total sales digitally while as per the insurance industry estimates, only 2 to 3% of customers purchase policy online. At this pace, it is expected that the digital sale of Aegon Life Insurance would go up further this year.
Martjin de Jong also says that persistency ratio of online customers is higher than the ratio of customers acquired through channels like agencies. For online customers, the ratio is as high as 93% whereas for customers acquired through the agency, it is half of the number.
Use of this online platform not only benefits customers, it is also cost effective for the company. Currently, Aegon Life Insurance Company is focusing more on it digital sales to help customers purchase insurance online, underwrite and use.