Mr Farhan Akhtar Faridi joined Jubilee Life Insurance in 2000 and currently assumes the position of Group Head of Retail Operations, Administration and Marketing. Mr Faridi holds a vast working experience spanning over 2 decades in both life insurance and banking sectors in Pakistan.

His core expertise include launching successful Bancassurance partnerships with specialties in sales and distribution, product development and management, business development and in relationship management. Mr Faridi has played an instrumental role in not only pioneering the Bancassurance setup in the Pakistani insurance industry but also in leading Jubilee Life Insurance in becoming the market leader in the business.

Following are the edited excerpts of a recent conversation BR Research had with Farhan Faridi:

BR Research: Pakistan insurance penetration continues to be lower than one percent. How do you view this dilemma?

Farhan Akhtar Faridi: Penetration for insurance services offered by the industry have demonstrated and maintained a positive trend. Rather than viewing it as a dilemma, we consider it a substantial opportunity for the sector as there is a vast segment in the market open to be tapped, giving room for immense growth over the coming years. Companies like ourselves are investing significantly on bringing more people on board through showcasing the benefits and prospects of insurance products for both individuals as well as businesses.

At present, awareness and relevant knowledge regarding insurance are the key factors that are hindering the progress. Through digital channels and effective communication, Jubilee Life is addressing these aspects extensively. These efforts are bearing fruit and the penetration is bound to increase over the coming years.

BRR: How would you explain the impact of the global pandemic on insurance business in Pakistan?

FAF: There is a bright side to every cloud. Similar to this, each obstacle has a unique set of benefits, particularly in terms of the lessons learned. Jubilee life is doing exactly that when it comes to seeking for chances even during difficult times.

People are now aware of the need to carry health and life insurance as a backup for situations where there are huge financial obligations because of natural calamities like COVID and recent flooding throughout Pakistan. The necessity for financial security is unavoidable as life's uncertainties grow increasingly more pronounced. Therefore, life insurance is a crucial safety net for people who want to shield themselves from adversity.

BRR: Employee training is crucial for insurance sector. Is it a challenge to retain and motivate the staff?

FAF: Indeed, Jubilee Life's success as an organization is in large part due to its personnel. As a result, we go above and beyond to keep our workforce inspired. Regular employee engagement activities with the intention of fostering confidence and a positive attitude that will allow for these people to flourish both personally and professionally. At Jubilee Life, we place a great value on our employees’ health and wellness because we know how important it is to create a positive work environment for those who are part of the team here at the company. We also offer a lot of flexibility because it has been discovered that modern workforces perform better when they are given more room to work while yet preserving their own comfort and growth.

Our trainings cover a diverse range of subjects including but not limited to creative thinking, problem solving, building success-oriented habits, realizing one’s true potential, development of core traits like time management and team work, dynamic leadership and product training to name a few.

Additionally, we at Jubilee Life, continue to introduce events and campaigns that work towards building employee morale and confidence. These efforts ultimately translate into a productive work environment where employees contribute to the best of their abilities. Through various programs, the inspirational journey of Jubilee Life's employees particularly of those with special needs continues to be highlighted while at the same time, a nationwide awareness campaign for breast cancer that was conducted recently, is part of the initiatives that we have taken so far.

BRR: How would you describe Jubilee Life's recent financial performance? And what is your competitive advantage that sets you apart from your competitors?

FAF: On all fronts, the company has been doing exceptionally well. Our yearly reports speak for itself on the financial front. Numerous platforms, including the most recent, which included our Asiamoney Award and the PSX Top 25 Companies honor, have highly praised our efforts and accomplishments and put light on what the company has accomplished in particular over the most recent years. These accomplishments have a significant impact on our primary business operations.

Over nearly three decades that Jubilee Life has been in operations, the company has built a loyal customer base and reputation for itself based on some key characteristics. These elements are part of the holistic milestones that the company has and the strategies that are implemented to achieve them. These include product variety; penetration across the country; simple claim process; panel hospitals network; multiple distribution channels; and robust CRM (Technology Adaptation).

BRR: You talked about technology being one of the key drivers of growth for you. Tell us how far ahead in digitalization are you?

FAF: Digitization has facilitated improvements, greater simplicity, and convenience, but it has also brought up some difficulties, particularly for our industry. In comparison to many other consumer- focused insurances, life insurance is by far the most complex product category. With the advent of the digital age, difficulties like updating traditional procedures, raising customer awareness and aiding their adaptation to change, as well as guaranteeing client data confidentiality, have emerged. At Jubilee Life, we strive to fully address every one of these factors. To begin with, we're working on a user interface that will make it easier for customers to understand their needs and make decisions, making the process of buying life insurance more convenient.

Our main objective is to cater to this change by digitizing the existing procedures and processes that would allow an experience which is seamless, user friendly, widely accessible and coherent with industry best practices.Currently, we are in the phase of modernization and transformation, focused on reshaping existing business while uncovering new source of value addition for our customer and prospective policyholders.

BRR: Do global insurance trends dictate the industry in Pakistan?

FAF: With the world being a global village, trends and dynamics worldwide ultimately influence local practices and policies in one way or the other. However, different demographics and societies demand personalized products and services. Localized, tailor-made offerings perform much better in the Pakistani ecosystems as religious, environmental and societal factors influence the product being made available to customers. Global trends allow enhancement in knowledge building and product enhancement for the industry which resultantly impacts customer services.

BRR: What prospects do you see in the life insurance industry in Pakistan? And what needs to be done to increase insurance penetration in the country?

FAF: In recent years, the wave of calamities that, not just the world, but Pakistan has faced, drove vast segments to accept the importance of insurance in their lives. This has broadened the prospects for the sector significantly. At present, the market demands investments towards awareness, need realization, product knowledge and adaptation towards digitization, which will push the growth trajectory further towards high productivity.

Our flood relief drive provided a 1,000 makeshift accommodations and other donations in both cash and kind to help the flood relief victims. With flood waters now receding, a combined effort from all stakeholders is required to reestablish people in their lives with many having lost not just their homes but means of livelihood as well. A conceited effort is therefore necessary to bring sustainable change to these families.