Account Aggregators vs Manual Uploads: What’s Better for Life Insurance Customers?

1. Ease of Document Submission

   
   Manual Uploads:

   Customers are required to scan and upload documents like payslips, and bank statements.

   
   

   Account Aggregators:

   You can share verified data directly from your bank or financial institution in just a few clicks. The process is paperless and avoids the need to track, scan, or convert files.

   
   

2. Data Accuracy and Verification

   
   Manual Uploads:

   Insurers review submitted documents manually.

   
   

   Account Aggregators:

   Data is fetched directly from regulated financial sources..

   
   

3. Security and Privacy

   
   Manual Uploads:

   Uploaded files are stored on multiple systems or email servers.

   
   

   Account Aggregators:

   The AA framework is governed by the Reserve Bank of India (RBI). Data is end-to-end encrypted and never stored by the aggregator.

   
   

4. Eligibility Across Customer Profiles

   
   Manual Uploads:

   This method works universally, even for those who don’t have digital access or are uncomfortable with online platforms.

   
   

   Account Aggregators:

   While growing in adoption, it may still require basic digital literacy and access to internet-enabled devices.

   
   

5. Operational Method

   
   Manual Uploads:

   Customers are required to complete tasks such as visiting branches, scanning documents, or obtaining notary attestations in certain cases.

   
   

   Account Aggregators:

   This approach streamlines the process by eliminating physical document handling, enabling digital verification and reducing manual intervention.

   
   

Final Thoughts

Data sharing in financial services can be completed through both manual and digital processes, each involving specific steps and requirements. With the growing adoption of digital frameworks, solutions like Account Aggregators are being introduced to enable secure and structured data sharing. Customers can check with their service providers to understand the available options and choose what works best for them.