McKinsey: AI-led discovery and ecosystem partnerships set to shape India’s insurance growth
Category: Insurance • India
What it is
McKinsey says the next phase of growth in Indian insurance is likely to depend more on distribution effectiveness than product availability. As customers discover products through AI search and conversational interfaces, insurers are reassessing direct-to-customer models built on aggregators and paid acquisition, which drive high customer acquisition costs. The report says the industry could see agentic AI managing discovery, engagement, conversion, and cross-selling, and a potential unified AI underwriting workflow from data intake to policy issuance. It comes as IRDAI has proposed a distribution overhaul.
Why it Matters for Enterprises
Distribution is shifting as AI becomes the front door for discovery. Insurers should prepare product data for AI-driven channels, connect underwriting and policy systems into unified workflows, and plan for pending IRDAI changes to expense limits, commissions, and mis-selling safeguards.
