What makes IaaS work is its underlying technology: cloud-native systems, open APIs, and modular microservices. Insurers can now integrate with partners in weeks, launch niche products with minimal operational burden, and enable real-time policy servicing. Add in AI-powered underwriting and digital KYC, and the insurance experience becomes instant, intelligent, and scalable both for the end customer and for the distributor.

In health insurance, wearables are increasingly being used to incentivize fitness and reduce claims. Insurers are offering premium discounts, vouchers, or rewards linked to daily activity and wellness goals. Max Bupa Health Insurance, for example, has partnered with GOQii to track fitness data and provide customer rewards. Aditya Birla Health Insurance offers premium-linked incentives based on data collected via mobile apps and wearables, while ICICI Lombard’s ILTakeCare app integrates wearable data to manage policies and encourage healthy habits.

India’s wearable technology market has witnessed explosive growth in recent years. According to the International Data Corporation (IDC), India became the largest wearable market in the world in Q2 2023 by shipment volume, with over 32 million units sold in the first half of the year alone an increase of nearly 50% year-on-year. Smartwatches and fitness bands have become increasingly affordable, with many models priced under ₹2,000, making them accessible to the middle and lower-income segments. This surge creates fertile ground for insurers to integrate wearables into health and wellness policies. As more consumers track their steps, sleep, and heart rate daily, insurers can use this real-time data to offer dynamic premiums, incentivize healthy behavior, and reduce long-term claims. With IRDAI’s support and India’s expanding digital infrastructure, wearable-linked insurance is poised to become a mainstream offering in the coming years.