WELCOME

TO PRESENTATION ON AUTOMATION OF

A Friend Indeed

DIRECTOR, KGID. Jun 2018 FD

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BRIEF BACKGROUND

• KGID, earlier known as MGID dealing with insurance for Govt. employees
came in to existence in the year 1891.

• It has a glorious history of serving people of the state for more than 125
years .

• Motor insurance was started in 1946 and 72 years experience.

• Nationalisation of Life Insurance and General Insurance businesses in

1956 & 1973 respectively, culminated in formation of LIC and GIC.

• KGID was then left with only Compulsory Life Insurance for state Govt.
employees and Motor Insurance for only Govt. vehicles and vehicles in
which Govt. has substantial financial interest.
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KGID in Nos.

• There are 30 District offices apart from H O.

• There are 4.5 lakh + policy holders.

• In total 12 lakh + running policies are there.

• Annual Premium collected is around Rs. 1,000 crores.

• Sum assured is in excess of Rs.20,000 crores.

• Fund Balance is around Rs. 9,800 crores.

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PRESENT STATUS :

• SEVERE SHORTAGE OF STAFF

• NO AUTOMATION WORTH MENTIONING

• LIMITED EXPOSURE TO I T ENVIRONS

• EVER INCREASING NO. OF POLICIES

• PROBLEMS BECAUSE OF TREASURY – K2

• LIMITED DIGITISED DATA

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Compulsory Life Insurance Scheme (CLIS)

1. Actuarial
1. New Business (NB) • Pre actuarial valuation
• Bonus declaration
• First policy
• Further polices 2. Annual A/cs. Preparation
• Issue of Bond 1. Pro forma Accounts
2. Balance Sheet
2. Accounting Monthly Deductions –
3. Loans
1. Compilation & Extraction • Disbursements
• By Cash • Recovery & Accounting
• By TTR ( from Treasuries)
• By Book Adjustment from AG 4. Claims
• Maturity
3. Reconciliation • Death
• With treasury • Surrender
• With AG
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Motor Branch
• New Business (NB)

• Issue of New Policy

• Renewal of Polices

• Claims

• Own Damage
• Spot inspection
• Appointment of surveyor
• Assessment
• Settlement

• Motor Accident Claim Tribunal

• Legal proceedings
• Adalaths / Court judgements
• Workman Compensation
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BRIEF BACKGROUND OF AUTOMATION

• Various attempts to computerise sections of the department have been

going on since long time.
• Among 30 districts only Bangalore office has computerised data
extraction system. Rest maintain manual accounts.
• KGID new policy details are captured from hard copies through data
entry in the districts.
• In 2014 KPMG was entrusted with the responsibility of preparing FRS, RFP
and related documents for comprehensive digitisation of the dept.
• In Nov-2018 I T consultant was appointed by the govt. To assist
department to take the project forward.
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PRESENT STATUS OF AUTOMATION:

• Verification of the FRS is complete.

• Modification of the FRS is underway.

• During May-2018 FD has been approached to take the project

forward.
• Annual Action Plan for 2018-19 has been submitted to the e-
Governance department for approval.

• Updation of the Master details of 4.5 lakh+ policy holders details by

comparing KGID and HRMS data is to be taken up.

• Digitisation of past 30 years data of 12.5 lakh individual policies in hard

copies, most complex job, is to be taken up.

• Since Jan-2018 attempts are being made to utilise digital data from
HRMS and Treasury to compile accounts sans data entry in Bangalore.
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RESULT OF THE PROBLEMS :

• DELAYED EXTRACTION

• DELAYED CLOSING OF ACCOUNTS

• INCOMPLETE RECORDS
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CREDIT CERTIFICATES :

• Requests go to various districts calling

for info.

• Lack of information about the

whereabouts of the policy.

• Waste of Time and effort at different

offices

• Insured is at loss for no fault on his

part.
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• Records found but the

effort required is very
high.
• It may be a single entry
or information of 10
years.
• Accuracy of the data
may also be an issue.
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DIGITISATION CHALLENGE:
• VOLUME OF DATA TO BE CAPTURED ( 30 YEARS DATA).
• MASTER POLICY DETAILS
• EXTRACTION DETAILS
• SERVICE DETAILS
• AVAILABILITY OF RECORDS IN COMPLETE FORM.
• CLEANSING / SANITISATION OF THE CAPTURED DATA.
• CENTRALISED DATABASE WITH DUPLICATES, WRONG AND INVALID POLICY
Nos.
• UNCLEARED / MISCLASSIFIED SUSPENSE – CAPTURING AND CLEARING.
 DATA DIGITISATION STRATEGY: 14

As a part of total computerization of KGID and as a preliminary to this, data entry

work of the data pertaining to CLIS has to be taken up.

This work may be divided into two parts.

1. Capturing Basic data of all policy holders.
2. Accounts of all the policies and capturing data regarding services provided in
respect of these policies.

Among these, the first part, capturing the basic data of policies is to be done on
priority basis and this work should be completed on time bound basis. This work may be
called as Phase-I data entry work.

The second part, the data entry of accounts of policies and policy service are to be
captured and this work may be taken up after the classification & correction of Phase-I
data entry. This process may be termed as Phase-II data entry work. This may have to
cover past 30 years data of all 30 districts.
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S:

• ION
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S:

• ION
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BENEFITS OF COMPUTERISATION
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SERVICES THAT THE CUSTOMER EXPECTS:

• TRANSPARENCY IN TRANSACTIONS
• EASE IN INTERACTION
• ONLINE SERVICES
• SPEEDY & HASSLE FREE SERVICE
• INFORMATION ON DEMAND
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IMMEDIATE TASK ON HAND

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VALUE ADDITION & TECHNOLOGY

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PROPOSED FLOW:

PROSPECTIVE WEB BASED GENERATE PRINT THE PAY INITIAL

CUSTOMER APPLICATION PROPOSAL PROPOSAL DEPOSIT

KGID RECEIVES FORWARDS DDO USES DSC PROPOSAL MEDICAL

PROPOSAL PROPOSAL APPROVES SUBMIT TO DDO EXAMINATION

ACKNLDGE CASE WORKER SUPERINTENDNT OFFICER BOND PRINTED

CAPTURE DATA SCRUTINISES VERIFIES APPROVES ISSUED

DEDUCTIONS UPDATE THE ACCESS HRMS INFORMN TO DESPATCHED

START DETAILS DATABASE THE DDO TO INSURED
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