SECP chief highlights importance of digital transformation

SECP chief Dr Kabir Ahmed Sidhu emphasized the importance of digital transformation in the Pakistani insurance industry, stating that it is essential to expand coverage, improve claim settlement, and make affordable insurance products accessible to the public. The insurance sector currently has assets worth approximately Rs4 trillion and annual premiums of Rs708 billion, but insurance penetration remains only 0.7 percent of GDP.

Dr Sidhu highlighted that only 0.85 percent of insurance premiums are generated through digital channels, indicating a significant challenge and opportunity for the industry. He announced the establishment of an "Insured Pakistan" digital platform to enhance public access to insurance products and information, and introduced regulatory reforms to ensure transparent and fair claim settlements.

The SECP is also collaborating with the Punjab government to strengthen the implementation of mandatory third-party motor insurance coverage, which currently stands at 0.85 percent, through digital verification and enforcement.

Brief written by urgent.news from Business Recorder's own syndicated text. Machine-written — may contain errors; check the original before relying on it.