Banking, Financial Services and Insurance (BFSI) Trends

  Insurance Analytics: Driving Smarter Decisions   Insurance analytics refers to the use of data analysis techniques, predictive modeling, and artificial intelligence to support decision-making across the insurance value chain. This includes underwriting, pricing, claims processing, fraud detection, customer segmentation, and risk assessment. It helps improve accuracy and efficiency. Insurance analytics involves structured and unstructured data to provide insights and help improve business performance. It also uses natural language processing and machine learning to automate decision-making. Insurance analytics enhances the customer experiences using chatbots, virtual assistants and others, that are powered by artificial intelligence.   Insurance analytics help evaluate risk, determine premiums, and predict future claims. It uses predictive models to determine the possibility of the customer filing a claim during a certain period. This allows insurers to adjust the pric...

Microlending refers to the practice of offering small loans to individuals or small businesses. This financial service is majorly based on trust and is observed in the developing countries. The loan payment for the same is based on mutual accountability. These loans are opted for by micro-entrepreneurs, small scale companies, and others. The interest rates on microloans are higher than bank loans owing to the higher risk and administrative costs. They have short repayment terms and frequent installment schedules. Microlending uses different fintech platforms and mobile apps to digitalize as well as expand awareness about financial services.   How microlending is adapting to a changing world?   Microlending offers accessible credit to the global population, especially in rural or low-income communities, which is generally not offered by the traditional financial systems. This increases the adoption of microlending in the financial sector. Governments and NGOs promote microl...

An extended warranty is termed as a service agreement that is provided by the vendor, seller or manufacturer for any product or appliance. This is generally a period defined beyond the standard warranty for the product to repair or replace the product in case of any defect or damage. In the U.S. , extended warranty is provided by the retailers, third-party providers, or manufacturers to the buyers.   What is shaping the extended warranty sector in the U.S.?   Rise in cost of repair or replacement and surge in dependency on electronics among the customers boosts the growth of the extended warranty sector in the U.S. In addition, modern devices use a lot of technology which increases their repair cost, and thus manufacturers focus on providing this service. Extended warranty, thus, ensures customer engagement, as well. It is also offered to the buyer if the product is bought using any online platform.   U.S. extended warranties are provided by manufacturers or sellers on...