Electronic contracts in the insurance industry

Although life insurance is not new, the questions of what life insurance is, the nature of life insurance, current types of insurance and life insurance benefits… are still quite new with many people.

What is an electronic insurance policy? 

An insurance contract is an agreement between an insurance buyer and an insurance enterprise. The insurance buyer must pay the insurance premium, the insurance enterprise must pay the insurance money to the beneficiary or compensate the insured when the insured peril occurs. 

According to Article 33 of the 2005 Law on Electronic Transactions, there are provisions on the concept of an electronic contract: An electronic contract is a contract established in the form of a data message. So, from the above two concepts, it can be understood, an electronic insurance contract is an agreement contract between the insurance buyer and the insurance enterprise and is expressed in the form of data messages.

1. The main purpose is to protect against risk, not to save profit

Although life insurance still ensures future profitability like savings channels, the main purpose of life insurance is to protect against unexpected risks, so the profitability cannot be as high as when saving money. bank money. Therefore, you should not compare insurance and savings or buy insurance from a good profit perspective. Instead, you should clearly define your needs to choose between the right risk protection insurance and the most profitable savings through insurance benefits. 

2. As a long-term financial channel to prepare for the future 

The future is a long way and it is not known yet what good or bad will come. So, the thing to do is to plan carefully at this point. One of the ways to provide long-term financial protection for the future is life insurance. Since the later years of life, the risk will be greater, so choosing to participate in life-protected products will help the insured always feel secure because there is insurance support. 

3. Protects only against unforeseen risks, not pre-existing ones 

When it comes to life insurance, it is impossible not to mention risks – unexpected bad things happen that cause loss, loss and danger to people. Insurance is associated with risks, but not all risks are guaranteed life insurance benefits. Only risks that occur unintentionally causing damage to the health, body and life of the insured during the effective period of the policy are insured and paid. In addition, insurance will not cover risks that are intentional or inherent and present prior to the effective date of the policy unless notified and approved by the company. 

4. Not having to protect against “all” risks 

Not only life insurance, all insurance products have limited protection and do not protect against “all” types of risks. That is why, before signing an insurance contract, participants need to know what risks they will be protected against, in which case each risk is paid, the benefits received how much and what specific cases will be excluded. 

The policyholder should note that the insurance will not pay in cases such as death by suicide within 2 years, a criminal offense, HIV/AIDS or death; cases of intentionally or intentionally causing injury, pre-existing diseases, cases of violation of the law…. It’s not too difficult to understand what life insurance is, but if you want to understand more deeply, don’t ignore these things. It is important to know around life insurance such as the nature of insurance, insurance companies, types or understand the basic characteristics to avoid confusion later.

Types of insurance contracts: 

– Personal insurance contract; 

– Property insurance contract; 

– Contract of civil liability insurance.

A digital signature solution ensures that no documents are lost, sent to the wrong address, or piled up on someone’s desk. On the other hand, sending updates on the status of the deal at all times can help reduce human error. As a result, automating processes contributes to improved productivity and faster closures. 

Mobility and speed in signing insurance policies Customers can sign insurance policies anytime, anywhere – in just minutes. Once your customer has decided to purchase a policy, they can quickly use a digital signature to close the process. It can be completed at home or from anywhere else, almost instantly, using a computer, tablet or mobile phone. Insurance vouchers look more professional. 

You can customize your document page branding by creating fillable coverage forms and setting specific requirements. There are different types of fields you can add. You can also specify which fields your customers should fill in to get accurate coverage details. Furthermore, a digital signature solution will allow you to add your company logo to the page that people see when they sign your documents. Convenience for customers As the proliferation of non-traditional digital insurance alternatives becomes more prominent, digital transformation becomes necessary to attract new customers. 

Today, customers can quickly sign and retain copies of their important insurance documents without getting out of their seats. No need to wait for documents to be delivered, or time to go to the post office to return signed documents. Increase revenue and enhance an eco-friendly image Adopting an e-signature solution for insurance companies can result in significant savings in paper, ink, postage and related materials costs such as supplies or maintenance of scanners and printers. This, coupled with improved productivity and faster closing times can certainly boost profits and revenue year after year. Finally, the paperwork companies establish themselves as eco-friendly. That’s what digital consumers are prone to when choosing any service provider.

Applying the form of electronic contract in the field of insurance

Application of electronic contracts in the insurance field 

An electronic insurance contract is an agreement between an insurance buyer and an insurance enterprise and is presented in the form of a data message. An electronic insurance contract with an electronic signature has the same legal value as a traditional printed and stamped contract. When insurance events occur, the insurance buyer can completely use the electronic insurance contract to confirm insurance benefits and receive compensation according to the signed content. 

Accordingly, after the customer registers information and successfully pays for insurance, the insurance provider will create, digitally sign and perform the step of sending the contract to the customer right on the system. Electronic insurance contract via email registered customer.

Currently, FPT is providing the electronic insurance contract service FPT.eContract with full features for a smart contract signing process, with full legality and safety. FPT.eContract electronic insurance contracts fully meet the requirements and requirements of electronic contracts in the insurance field, bringing businesses and customers many outstanding utilities.

For more information, please contact FPT Electronic Contract:

Phone: 1900.636.191

Email: fpt.econtract@fpt.com.vn

Website: econtract.fpt.com.vn/

1900.636.191

Lê Thị Mai Phương