Innovators and experts have again criticized insurance companies for their aversion to technological developments.
Speaking at a conference in Tehran, Hamed Valipour, the founder of Bimito Application, said traditional insurers still do not subscribe to innovative solutions.
"Managers of insurance companies did not even want to talk to us when our business was in the early stages. We decided to start working through agents [third parties], which too was not welcome in the beginning," Peyvast Magazine quoted him as saying.
"Five years and tremendous efforts later, our cooperation with insurance companies is limited to selling insurance policies!" he rued.
Startups and knowledge-based companies in big numbers have opened in Iran with some offering insurance services, namely Bime Click, Bime Bazar, Bimito, and Fast Bime.
Insurance agents and online startups are among key issues of the huge industry. The regulator recently announced two regulations that prompted agents and startups to adopt new ways to sustain closer and mutually beneficial ties. It requires insurance startups to obtain official license if they want to sell insurance policies and obliges insurance companies to digitize third-party auto insurance policies.
The CII has stated in unambiguous terms that it supports the development of insurance startups. Gholamreza Soleimani, the CII boss, said that the regulator prefers startups handle 10% of the domestic insurance market.
The regulator does not discourage insurers from collaborating with startups. Agents can sign deals with startups that comply with CII requirements on rates, buyers' rights and protecting policyholders' personal and confidential data.
The High Council of Insurance earlier mandated companies to acquire permits from the CII for selling insurance policies online. It announced a framework for regulating the activities of online insurance agents according to which an “Official Online Broker License" allows policy sellers to function on behalf of insurance companies, compare rates and make online billings.
Mahmood Karimi, founder of the Planet, a domestic network promoting innovation in the insurance industry, said taking a technological approach is the very first step in transforming the sector.
"Digitalization should not be interpreted merely as digitizing processes or going online. Once insurance companies realize the power of innovative solutions we can expect [effective] change," he added.
He criticized the Central Insurance company of Iran for being slow in embracing innovation and promoting advanced technology for the sector.
Last year, the CII ordered insurance firms to transfer the process of sale, renewal, and claims of personal auto policies to an online platform. Insurers are required to provide agents and representatives access to online platforms to support their business.
