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The Growth of Usage-Based Insurance in India

Usage-based insurance (UBI), or telematics insurance, is a type of auto insurance policy that considers the insured individual’s traditional auto insurance. It relies on general demographic information and historical claims data to determine premiums.

UBI uses real-time data from telematics devices or smartphone apps to assess risk and calculate premiums.

While it is still a relatively less used insurance product, several prominent insurance companies in India offer UBI:

  1. Bharti AXA General Insurance: Bharti AXA offers a telematics-based motor insurance policy called “DriveSmart.” This policy uses a smartphone app to collect data on driving behavior and offers discounts based on safe driving habits.
  2. ICICI Lombard General Insurance: ICICI Lombard offers a usage-based motor insurance policy called “Pay as You Drive.” It uses a telematics device installed in the insured vehicle to monitor driving behavior and provides premium discounts based on safe driving.
  3. HDFC ERGO General Insurance: HDFC ERGO provides a telematics-based motor insurance policy called “My: Health Drive.” 
  4. Reliance General Insurance: Reliance General Insurance offers a usage-based motor insurance policy called “Pay-As-You-Drive.” It uses a telematics device to track driving behavior and offers discounts based on the collected data.

How has the adoption of usage-based insurance grown in India?

The adoption of usage-based insurance (UBI) in India has steadily grown in recent years. While it is still a relatively new concept in the Indian insurance market, several factors have contributed to its increasing popularity:

  1. Technological Advancements: The widespread availability of smartphones and the advancement of telematics technology have made it easier and more cost-effective for insurance companies to implement UBI programs in India. Telematics devices and smartphone apps can now accurately collect and transmit driving data, enabling insurers to assess risk and calculate premiums based on individual driving behavior.
  2. Cost Savings Potential: One of the critical drivers for adopting UBI in India is the potential cost savings for policyholders. By incentivizing safe driving habits, UBI policies offer the opportunity for individuals to lower their premiums based on their driving behavior. This appeals to cost-conscious consumers who are looking for personalized insurance options.
  3. Increasing Awareness of Road Safety: India has been actively promoting road safety initiatives and campaigns in recent years to address the country’s high number of road accidents. UBI aligns with these efforts by encouraging responsible driving behaviors and offering rewards for safe driving. As individuals become more aware of the importance of road safety, the appeal of UBI policies grows.
  4. Shift in Consumer Preferences: With the advent of digital transformation and changing consumer expectations, there has been a shift in the way people perceive and interact with insurance. Customers now seek personalized and flexible insurance options that align with their lifestyles and preferences. UBI caters to this demand by offering tailored coverage and potential cost savings based on individual driving patterns.

While the adoption of UBI in India is still relatively modest compared to traditional insurance policies, it is expected to grow further as more insurance companies introduce UBI offerings as consumer awareness and acceptance continue to increase. 

Here are some suggestions to increase user adoption and usage of UBI in India:

  1. Consumer Awareness: Educate the customers about the benefits of UBI, such as personalized premiums, safe driving incentives, reduced frauds, and better claims management
  2. Subscription Options: At the initial stages of adoption, it is essential to help users with various payment structures to assuage fears. Similar to the “try and buy” and “cash on delivery” models adopted at the beginning of e-commerce shopping in India, companies can provide various types of UBI products to suit different customer segments and preferences, such as Pay as You Drive (PAYD), Pay How You Drive (PHYD), Pay as You Go (PAYG), and Distance-based Insurance.
  3. Transparency: This form of insurance relies on the free flow of data using technology to collect and analyze it. For example, with mobile apps, plug-in devices, GPS devices, onboard sensors, mileage detection, etc. Communication on how the data is used through videos, informational widgets, or notifications helps ensure the customer is aware of the data privacy and security measures undertaken by an insurer.
  4. Leveraging Channel Partners: UBI requires a robust ecosystem for easy adoption. Companies can partner with OEMs, dealers, aggregators, and other stakeholders for UBI distribution and service.

UBI is relatively new in India but is gaining popularity among car owners who want more control over their insurance costs. The way forward for UBI in India depends on several factors, such as adopting telematics technology, the regulatory framework, consumer awareness, and market competition. UBI has the potential to transform the car insurance industry in India by making it more transparent, fair and customer-centric

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Why Netflix Broke Itself: Was It Success Rewritten Through Platform Engineering?

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Let’s take a trip back in time—2008. Netflix was nothing like the media juggernaut it is today. Back then, they were a DVD-rental-by-mail service trying to go digital. But here’s the kicker: they hit a major pitfall. The internet was booming, and people were binge-watching shows like never before, but Netflix’s infrastructure couldn’t handle the load. Their single, massive system—what techies call a “monolith”—was creaking under pressure. Slow load times and buffering wheels plagued the experience, a nightmare for any platform or app development company trying to scale

That’s when Netflix decided to do something wild—they broke their monolith into smaller pieces. It was microservices, the tech equivalent of turning one giant pizza into bite-sized slices. Instead of one colossal system doing everything from streaming to recommendations, each piece of Netflix’s architecture became a specialist—one service handled streaming, another handled recommendations, another managed user data, and so on.

But microservices alone weren’t enough. What if one slice of pizza burns? Would the rest of the meal be ruined? Netflix wasn’t about to let a burnt crust take down the whole operation. That’s when they introduced the Circuit Breaker Pattern—just like a home electrical circuit that prevents a total blackout when one fuse blows. Their famous Hystrix tool allowed services to fail without taking down the entire platform. 

Fast-forward to today: Netflix isn’t just serving you movie marathons, it’s a digital powerhouse, an icon in platform engineering; it’s deploying new code thousands of times per day without breaking a sweat. They handle 208 million subscribers streaming over 1 billion hours of content every week. Trends in Platform engineering transformed Netflix into an application dev platform with self-service capabilities, supporting app developers and fostering a culture of continuous deployment.

Did Netflix bring order to chaos?

Netflix didn’t just solve its own problem. They blazed the trail for a movement: platform engineering. Now, every company wants a piece of that action. What Netflix did was essentially build an internal platform that developers could innovate without dealing with infrastructure headaches, a dream scenario for any application developer or app development company seeking seamless workflows.

And it’s not just for the big players like Netflix anymore. Across industries, companies are using platform engineering to create Internal Developer Platforms (IDPs)—one-stop shops for mobile application developers to create, test, and deploy apps without waiting on traditional IT. According to Gartner, 80% of organizations will adopt platform engineering by 2025 because it makes everything faster and more efficient, a game-changer for any mobile app developer or development software firm.

All anybody has to do is to make sure the tools are actually connected and working together. To make the most of it. That’s where modern trends like self-service platforms and composable architectures come in. You build, you scale, you innovate.achieving what mobile app dev and web-based development needs And all without breaking a sweat.

Source: getport.io

Is Mantra Labs Redefining Platform Engineering?

We didn’t just learn from Netflix’s playbook; we’re writing our own chapters in platform engineering. One example of this? Our work with one of India’s leading private-sector general insurance companies.

Their existing DevOps system was like Netflix’s old monolith: complex, clunky, and slowing them down. Multiple teams, diverse workflows, and a lack of standardization were crippling their ability to innovate. Worse yet, they were stuck in a ticket-driven approach, which led to reactive fixes rather than proactive growth. Observability gaps meant they were often solving the wrong problems, without any real insight into what was happening under the hood.

That’s where Mantra Labs stepped in. Mantra Labs brought in the pillars of platform engineering:

Standardization: We unified their workflows, creating a single source of truth for teams across the board.

Customization:  Our tailored platform engineering approach addressed the unique demands of their various application development teams.

Traceability: With better observability tools, they could now track their workflows, giving them real-time insights into system health and potential bottlenecks—an essential feature for web and app development and agile software development.

We didn’t just slap a band-aid on the problem; we overhauled their entire infrastructure. By centralizing infrastructure management and removing the ticket-driven chaos, we gave them a self-service platform—where teams could deploy new code without waiting in line. The results? Faster workflows, better adoption of tools, and an infrastructure ready for future growth.

But we didn’t stop there. We solved the critical observability gaps—providing real-time data that helped the insurance giant avoid potential pitfalls before they happened. With our approach, they no longer had to “hope” that things would go right. They could see it happening in real-time which is a major advantage in cross-platform mobile application development and cloud-based web hosting.

The Future of Platform Engineering: What’s Next?

As we look forward, platform engineering will continue to drive innovation, enabling companies to build scalable, resilient systems that adapt to future challenges—whether it’s AI-driven automation or self-healing platforms.

If you’re ready to make the leap into platform engineering, Mantra Labs is here to guide you. Whether you’re aiming for smoother workflows, enhanced observability, or scalable infrastructure, we’ve got the tools and expertise to get you there.

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