Government-owned insurers opt for organizational realignment and consult consultants

Is the central government moving towards merging its four general insurance agencies into one? The survey arises as the four general safeguard plans chose to rebuild the organization towards productive development and issued a call for proposals from consulting firms. The task is categorized as “Organizational Effectiveness and Performance Management in Public Sector General Insurance Companies”. The four guarantors are: The Oriental Insurance Company Limited, National Insurance Company Limited, The New India Assurance Company Limited and United India Insurance Company Limited.

According to the RFP, the companies are bringing in a consultant for the assignment, which makes sense because the HR process, policies and procedures are uniform across the four companies, a senior official told IANS. Of the industry.

Of the four, The New India Assurance is publicly listed.

Although the central government did not follow through on its previous announcement to merge the three unlisted non-life insurers – The Oriental Insurance, National Insurance and United India Insurance – or to privatize any of the three.

Moreover, the employees of the four companies also demand the same.

Given that, the current decision seems like the logical step in that direction, senior industry officials say.

According to a senior industry official, the privatization movement is still on the cards and the merger is not being considered by the government.

Either way, in line with the tender, the four companies have embarked on a transformation journey over the past two years by successfully racing down the path of profitable growth and efficiency, ‘optimization.

“This third year is dedicated to organizational effectiveness.” Accordingly, there is a proposal to restructure the organization to bring about profitable growth and employee development through performance and capacity management.

Management, in alignment with Key Performance Indicators (KPIs), designed the public sector P&C insurance companies. The four companies found a need for a consultant who could quickly absorb themselves into this ongoing reform journey and permeate them into every branch and staff by successfully designing, managing and implementing the process of such a transition. through organizational restructuring, performance management and its real-time measurement, assignment of specific roles and responsibilities as well as performance indicators for sales, non-sales and support staff, capacity and capacity building and a carefully crafted change management approach.

As of 31.03.2022, the four insurers have together purchased a total premium of Rs.75,116 crore with a market share of around 34%. The total number of employees is approximately 44,743 spread over 6,759 offices.

The expected duration of the assignment proposed for the selected consultants is 10 months, with a possibility of extension, if necessary according to the existing conditions. As per the RFP, the scope of work involves an irreversible organizational restructuring providing for digital workflows to convert operations offices into customer experience and business development centers while centralizing underwriting/complaints/ accounts and others in regional centres;

– enable the three key channels for retail business growth, namely agency, bancassurance and alternative channels through the right sales management, incentive and rewards processes; – create/move large businesses (both direct and broker-led) in 6-8 selected locations, reporting directly to head office.

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  • Government-owned insurers opt for organizational realignment and consult consultants
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Aubrey L. Morgan