`The existing data of Pradhan Mantri Jeevan Jyoti Bima Yojana and Pradhan Mantri Suraksha Bima Yojana of approximately more than 35 crore customers since the start of the schemes(2015) need to be migrated from the individual/banks and insurers to the repository,’’ said the request for proposal (RFP) issued jointly by IBA, LI Council and GI Council
According to the government sources, these two schemes have become successful in meeting the needs of poor people and now the time has come, with proper data analysis, to plan more benefits to existing and new customers and also in what way these data can be utilized in designing other products
Mumbai:
Even as Debasish Panda, the new chairman of IRDAI has unveiled its vision to ensure every Indian has appropriate life, health and property insurance cover, the banking and insurance industry have moved swiftly to create single repository to store all the data of 35 crore policyholders of government-backed Pradhan Mantri Jeevan Jyoti Bima Yojana(PMJJY) and Pradhan Mantri Suraksha Bima Yojana (PMSBY) for data mining.
Both the schemes, orginated from banks from their customer base, were launched 9th May, 2015 and all the data relating to schemes are currently managed by different banks and insurance companies separately.
Three official representative bodies like General Insurance Council(GI Council) , Life Insurance Council(LI Council ) and Indian Banks Association(IBA) have floated a tender for appointing a vendor to create this repository.
“The existing data of approximately more than 35 crore customers since the start of the schemes(2015) need to be migrated from the individual/banks and insurers to the repository,’’ said the request for proposal (RFP) issued jointly by the three bodies.
In today’s scenario financial industry is moving towards an integrated and digital approach to all operations. For seamless, immediate and error-free data transfer, it is expected that application programming interface(APIs) be planned. added the RFP.
The bidder is also required to supply, size, implement and maintain the server hardware, Storage, OS, Databases and required tools to install the API Gateway. These would be required to be secure and encrypted, specified the document.
Bidder needs to design, supply, size, maintain install and commission APIs which will be a single communication channel for use by all stakeholders as well as core application, said the document.
While PMJJBY offers life insurance cover of Rs 2 lakh for an annual premium of Rs 330 , PMSBY offers accidental death or total permanent disability cover of Rs 2 lakh and permanent partial disability cover of Rs 1 lakh for a premium of Rs 12.
Under PMJJBY, a cumulative number of 12.76 crore persons have enrolled since inception for life cover, and families of 5,76,121 persons have received claims for Rs 11,522 crore under the scheme.
The scheme has proved extremely useful for low-income households during the pandemic as in FY21, almost 50 percent claims paid out were due to COVID-19 deaths.
Similarly,28.37 crore individuals have enrolled for accident cover since the launch of PMSBY, and an amount of Rs 1,930 crore has been paid towards 97,227 claims.
According to the government sources, these two schemes have become successful in meeting the needs of low-income households and now the time has come, with proper data analysis, to plan more benefits to the existing and new customers and also plan in what way these data can be utilized in designing other basic financial products.
By analyzing data from these two schemes along with Pradhan Mantri Jan Dhan Yojana (PMJDY) which has now 45.28 crore beneficiaries and has Rs 166,409 crore balance in beneficiary accounts of banking industry, more similar universal bancassurance products can be developed.
The RFP says the vendor can suggest the best cloud system for this purpose. The options could range from using the commercial clouds such as AWS, Azure, Oracle Cloud, Sify cloud etc. or suggest procuring and managing a private cloud.
However Cloud to be based in India, preferably in or near Mumbai and disaster recovery(DR) of the cloud to also be based within India, in a different seismic zone.
The bidder is expected to create the database in such a way that deduplication of the data can be carried out in an efficient and fast manner. The data entered each time would be compared against all the records entered for that year and the previous year, said the document.
Thus, every record entered would have a match made against over 35 crore data sets. Since there is no single approved identifier, the data can be matched in various ways
The application should also provide for entry of complaints/ grievances that will be sent as notifications to the banks/insurers or sent through the API integration with the respective customer relationship managers(CRMs).