ICICI Prudential Life Insurance has reported a notable improvement in operational efficiency after reducing its savings cost-to-premium ratio to 13.6 per cent in the first quarter of FY2027, a decline of 50 basis points year-on-year. The development reflects the insurer’s continued investments in technology, automation and digital infrastructure, positioning it for sustainable and profitable growth in the competitive life insurance market. The company said digital transformation initiatives have accelerated policy issuance, strengthened claims processing and improved customer servicing. During the quarter, around 58 per cent of policies were issued using digital Know Your Customer (KYC) processes, while nearly 54 per cent of savings policies were issued on the same day. AI-powered underwriting and claims assessment also helped the insurer achieve an industry-leading claim settlement ratio of 99.3 per cent, with non-investigated individual claims settled in an average of one day.
Ganessan Soundiram, Chief Technology Officer, ICICI Prudential Life Insurance, said, “At ICICI Prudential Life Insurance, our investments in bolstering the Company’s digital infrastructure have not only empowered our customers but also enabled us to deliver an enhanced customer experience across their policy life cycle. We are leveraging AI, analytics and platforms such as ICICI Pru Partner Stack, IPRU Edge, etc. to strengthen customer acquisition, distributor effectiveness, servicing and operational efficiency.” He added, “When we built our technology stack, the goal was never automation for its own sake. It was about taking out the friction and the cost that come from manual processes, so that savings get passed on more efficiently and customers get a faster, simpler experience. That same thinking is now helping us to improve operational efficiency.”
Market participants said the company’s expanding use of AI, digital KYC, the Ask Khushmani chatbot, multilingual voice assistant capable of reaching up to 50,000 customers an hour and the IPRU Edge advisor platform is expected to improve productivity, customer retention and profitability. As ICICI Prudential Life marks 25 years of operations, its technology-led strategy is likely to support long-term growth while enhancing shareholder value in an increasingly digital insurance landscape.
