This document provides information about Mehul Verma who is studying B.Sc. Actuarial Science with a batch of 2019-2022. It then goes on to discuss the COVID-19 pandemic and its impacts on various sectors including healthcare, economy, businesses, education, and the environment. It also talks about how various industries like banking, insurance, and IT are adapting to the new normal and increasingly relying on digital technologies. Actuarial science is gaining importance in assessing risks and financial impacts of the pandemic.

1. Name-Mehul Verma
Course- B.Sc. Actuarial
Science.
Batch-2019-2022
Enrollment No-

2. THE CORONAVIRUS
•Virus reported to have originated in
China's Wuhan has killed more than
692,000 people and infected over
18.2 million.
• The World Health Organization (WHO) has declared the new
coronavirus outbreak, which originated in Wuhan, China, a
pandemic.
Data till 4th August

3. WHAT IS
CORONAVIRUS?
• The coronavirus family causes
illnesses ranging from the
common cold to more severe
diseases such as severe acute
respiratory syndrome (SARS) and
Middle East respiratory syndrome
(MERS), according to the WHO.
• They circulate in animals and
some can be transmitted between
animals and humans. Several
coronaviruses are circulating in
animals that have not yet infected
humans.
• The new coronavirus, the seventh
known to affect humans, has been
named COVID-19.

4. WHAT ARE THE
SYMPTOMS?
• Common signs of infection include
fever, coughing and breathing
difficulties. In severe cases, it can cause
pneumonia, multiple organ failure and
death.
• The incubation period of COVID-19 is
thought to be between one and 14 days.
It is contagious before symptoms appear,
which is why so many people get
infected.
• Infected patients can be also
asymptomatic, meaning they do not
display any symptoms despite having the
virus in their systems.

5. WHERE DID IT
COME FROM?
• China alerted the WHO to cases of
unusual pneumonia in Wuhan on
December 31.
• COVID-19 is thought to have originated
in a seafood market where wildlife was
sold illegally.
• On February 7, Chinese researchers said
the virus could have spread from an
infected animal to humans through
illegally trafficked pangolins, prized in
Asia for food and medicine.
• Scientists have pointed to either bats or
snakes as possible sources.

6. SHOULD I WORRY? HOW
SHOULD I PROTECT
MYSELF?
• The WHO declared the virus a pandemic on March 11
and said it was "deeply concerned by the alarming
levels of spread and severity" of the outbreak.
• The WHO recommends basic hygiene such as regularly
washing hands with soap and water, and covering your
mouth with your elbow when sneezing or coughing.
Also to make this sure, one has to wear masks while
outside his house or in a crowded place.
• Maintain "social distancing" - keeping at least 1.8
metres (six feet) between yourself and others -
particularly if they are coughing and sneezing, and
avoid touching your face, eyes and mouth with
unwashed hands.

7. WEAR A MASK. SAVE LIVES.
WEAR A FACE COVER
WASH YOUR HANDS
KEEP A SAFE DISTANCE

8. CAN WE
TREAT
THIS
VIRUS?
• There aren’t any proven treatments for COVID-19, but there are dozens
of studies underway to find some. One leading candidate is remdesivir, an
antiviral medication originally developed to treat Ebola. The Food and
Drug Administration authorized it for emergency use during the pandemic
— it doesn’t have full approval, but the agency says the potential benefits
outweigh the risks.
• There was a lot of early hype around the anti-malaria medication
chloroquine, but clinical trials showed that it doesn’t actually help
COVID-19 patients. Clinical trials did show, though, that a cheap steroid
called dexamethasone could help people who are hospitalized with very
severe cases of the disease.
• Research teams and pharmaceutical companies are also working to
develop a vaccine that can protect people from infection. However,
vaccine development takes a long time. Even if everything goes smoothly,
it will be around a year to 18 months before one is available, said
Anthony Fauci, the director of the National Institute of Allergy and
Infectious Diseases.

10. IMPACTS OF THE
PANDEMIC: THE
NEGATIVE SIDE OF IT
• Businesses are coping with lost revenue and
disrupted supply chains as factory shutdowns and
quarantine measures spread across the globe,
restricting movement and commerce.
• Unemployment is skyrocketing, while
policymakers across countries race to implement
fiscal and monetary measures to alleviate the
financial burden on citizens and shore up
economies under severe strain.

11. CORONAVIRUS ATTACK
SLOWS DOWN IT
GROWTH
• Brokerage HDFC securities expects revenue of the IT
sector to reduce by 2-7% due to a slowdown in decision
making in the next six months while businesses
evaluate the impact of the virus that is disrupting the
global economy.
In recent weeks, Indian firms have already faced
cancellations of projects by clients across sectors due to
the reduction in air travel and closing of cities and
countries to embrace social distancing to tackle the
pandemic.

12. THE IMPORTANCE OF
DIGITALIZATION
DURING COVID CRISIS
• Digital solutions, such as delivery applications,
contactless payments and mobile banking, have
become a go-to option for consumers in need of a
way to efficiently manage their daily tasks, yet
remain as safe as possible during the COVID-19
crisis.
• Therefore, businesses are focusing on
implementing and upgrading digital solutions,
which would enable them to keep up with the
rising number of consumer expectations without
compromising the quality of service. Since the
start of the pandemic, the usage of mobile apps has
extremely increased in a variety of industries. Food
delivery and grocery shopping applications, in
particular, have witnessed a surge of clients.

13. • People being bound to their homes have
had a notable impact on e-commerce too, as
shoppers have directed their attention to
virtual markets.
• Grocery stores have shifted to online
ordering and delivery as their primary
business. Schools in many locales have
pivoted to 100 percent online learning and
digital classrooms. Doctors have begun
delivering telemedicine, aided by more
flexible regulation. Manufacturers are
actively developing plans for “lights out”
factories and supply chains. The list goes
on.
• Companies will need to ensure that their
digital channels are on par with or better
than those of their competition to succeed in
this new environment.

14. CORONAVIRUS AND
THE FINANCIAL
SERVICES SECTOR
BANKS
• The banks may run the risk of increased bad loans or
non-performing assets (NPAs) if the borrowers who
avail the moratorium are unable to generate cash or the
cash generated is insufficient to honor the required
payments of interest and instalments in a timely
manner.
• There could be an aggregation or accumulation of
provisions and losses in the period in which the
exemptions are lifted.
• If the pandemic continues for a longer time than
anticipated, there could withdrawals of deposits, which
could result in the replacement of low cost deposits
with high cost borrowings resulting in an adverse
impact on net interest income, spreads and margins.

15. • Banks may not find proper avenues for lending due to
the status of the economy resulting into either excess
funds lying idle or being invested in low yielding
investments
NON-BANKING FINANCIAL
SECTOR
• In case of NBFC’s normally, lenders use the past
history of defaults and losses to compute the expected
credit losses and adjust them for the future based on
their trends with the macroeconomic factors. Since the
Covid 19 sort of impact is unprecedented, it will be
very difficult for them to compute the expected credit
losses.
• Further, some of the NBFCs give loans to small
businesses (micro finance) for which repayments
cannot be estimated in this situation as there would be
higher losses.

16. • Maintaining liquidity and capital would also be a
great challenge for them.
INSURANCE COMPANIES
• There would be a fall in the premium income,
particularly in motor loans, as the new car sales
have stopped due to the lockdown . However, the
claims are also expected to be lower.
• If the pandemic goes on for longer, there would be
higher medical claims resulting into a higher costs.
• There would be constraints on capital raising as
liquidity of the parent (if they are banks or NBFCs)
would be under stress.
• On the life insurance side, there could be higher
claims and the actuarial assumptions could undergo
changes due to changes in actual experiences.

17. DISRUPTION TO
COMMERCE
• The initial shortage of products and parts
from China affected companies around
the world, as factories delayed opening
after the Lunar New Year and workers
stayed home to help reduce the spread of
the virus.
• Apple’s manufacturing partner in China,
Foxconn, faced production delays. Some
carmakers including Nissan and Hyundai
temporarily closed factories outside
China because they couldn’t get parts.

18. • The pharmaceutical industry, bracing for
disruption to global production since
February, reported fears of drug shortages
as India faced lockdowns 24 March. India
supplies nearly half of the generic drugs for
countries such as the U.S.
• Most trade shows, cultural and sporting
events across the world have been cancelled
or postponed.

19. THE NEW NORMAL FOR THE BFSI
AND DIGITAL INNOVATION
INDUSTRY

20. CORONAVIRUS
AS A NUTRIENT
FOR NEW
ECOSYSTEMS
• In order to meet this global challenge, fintechs and banks
will now have to engage in new collaborations. This will
enable them to complement each other with their specific
strengths and jointly take effective action. For, despite all
the security requirements, the demand for digital
solutions is currently growing rapidly – and fintechs
have gained a lot of experience in this area over the last
few years.
• As in many contexts, Corona can also be the impetus in
the financial world to tackle the upcoming challenges as
a team. In recent years, farsighted companies have
already begun to realize the potential of banking
ecosystems as a means of bundling the strengths of
specialized service providers. Now more than ever, the
right strategy will also determine the success or failure of
a financial institution’s own portfolio.

21. COVID-19 WILL
DRAMATICALLY
ACCELERATE
DIGITAL
TRANSFORMATION
IN BANKING
The necessity and urgency of digital transformation, especially in
financial institutions, becomes more than obvious in the current
situation – now things have to get moving fast. Due to the far-
reaching restrictions of public life, banks are forced to
immediately create appropriate offerings with which they can
reach their business partners under the given circumstances and
encourage and support them to use these. The logical consequence
is to reduce dependence on the branch by quickly extending the
digitally available services. Therefore, it is now important to
understand the essential processes and the effects of the crisis on
them and thus identify the most important online functions that
can beoffered or improved quickly. Customer service is the
decisive factor in proving that financial institutions can be relied
upon, especially now.

22. CHANGE IN INSURANCE
OPERATIONS
• Focus on business continuity and resiliency.
Companies usually have a business continuity plan,
but due to the extraordinary consequences of the
pandemic, as circumstances change, both during and
after the crisis, these plans need to be regularly
updated and communicated to employees and agents.
In all sectors, best practice in responding to a crisis is
a two-pronged approach, with a dedicated team for
each. One team focuses on managing the immediate
crisis, and the other looks forward.
• Accelerate digitization without amplifying the
gender gap. It is already obvious across the world that
COVID-19 IS driving digitization much faster than
was previously the case. However, when adopting this
technology, businesses must do so with a gender lens.

23. • Enable online payment of premiums and
claims. By partnering with financial
technology companies (fintechs) or digital
banks, insurers can speed up payment of
claims and offer benefits such as premium
rebates. To ensure a fast, smooth transition
to a digital payment platform, where
possible, insurers should use an existing
system.
• Digitize to improve data, products, and
customer relations. Traditionally, the
customer relationship management (CRM)
systems of insurers have been less than ideal
due to missing contact information,
duplicate entries, and other errors. With
COVID-19 triggering a push toward
digitization, this is a prime opportunity for
insurers to improve their customer records
by making the adoption of an effective CRM
system an organization-wide priority.

24. • Be consistent and proactive with branding and advertising.
Due to the COVID-19 crisis, insurers need to rethink their
branding and advertising activities. Typically, customer
acquisition costs for direct-to-consumer models are a major
expense for insurers. However, due to the pandemic, people’s
greater interest in health and life insurance may translate into
more Google searches and visits to insurers’ websites.15 If
insurers find this to be the case with their web traffic, they could
consider temporarily reducing their advertising budget, and
reallocating the funds to areas with greater need.
• Innovate to provide tangible benefits to clients. Many examples
of innovation have emerged in the insurance market since the
COVID-19 pandemic began This includes a diagnostic and
hospitalization allowance for them or any family member
diagnosed with COVID-19, as well as a lumpsum payout in the
event of death. When considering any additional coverage and
services, insurers should work with their reinsurers to draw on
their expertise regarding product development, underwriting,
pricing, and risk management.

25. “EVERYTHING-AS-A-
SERVICE” DRIVE POST
THE COVID-19 PANDEMIC –
DIGITAL INNOVATION
• The pandemic is acting as a catalyst to accelerate the
digital change and the big rapid consensus among
key stakeholders across the value chain- employers,
suppliers, dealers and customers.
• Digital innovation will be combination of
reinventing the core business while simultaneously
scaling new business models .
• It means rethinking products and service offerings
delivering them across a digital supply chain and
infusing operations with AI and human-machine
collaboration.

26. Enterprises have to adopt
new technologies such as
advanced analytics, machine
learning, robotics process
automation, blockchain, IoT
and Artificial Intelligence.

27. HUMAN-TECH
RELATIONSHIP
• In the coming decade the human-tech
relationship will only deepen.
• How this exactly changes the world is hard
to predict. Artificial Intelligence might
open up vast new cognitive possibilities.
Automation might change how we work.
And robotics might even change who
works!
• Any agency which knows how wield
technology stands to benefit.

28. FEW POSITIVE IMPACTS
OF THE PANDEMIC ON
THE WORLD.
• Connections Go Deeper: We are more concerned
about well beings of our people and taking every
possible initiative to be together even we are
quarantined and maintaining social distancing.
Covid-19 In India has pushed societies to change
attitudes towards doctors, nurses, paramedics staff,
soldiers, police, delivery person, cleaning staff,
truck drivers, milkman, and all corona warriors for
their dedication and selfless services, in the face of
immense risk.
• Nature Regain Its Full Glory: We have bright
clear blue sky, rivers are more clean, beautiful
rainbows are spotted everywhere, and of course,
there have been dramatic falls in pollution levels.
Pleasing sounds of birds have absolutely replaced
car horns during the lockdown.

29. • We Make Conscious Choices Now: We are getting
more conscious about our choices now. Less travel
means less vehicles, Less wastage of pages and
natural resources, Earth’s ozone layer is recovering,
Air quality is improving and we said no to usage of
plastic. Most of us are now doing our household
chores ourselves of course with our family members
as the helping hands.
• A new wave of tools and software: Companies are
in need of online tools & software that can help you
make this shift to digital classrooms & virtual office
spaces seamless. From self-diagnosis bots to
automated emergency protocols, this trend has also
paved the way to touchless biometric attendance
systems, time tracking, or other collaborative tools
that can essentially step in and be an alternative to
your existing workflow to run your business virtually.

30. • With fears of a new recession and financial
collapse, times like these call for resilient and
strong leadership in healthcare, business,
government and wider society. Immediate
relief measures need to be implemented and
adjusted for those that may fall through the
cracks. Medium and longer term planning is
needed to re-balance and re-energise the
economy following this crisis. A broad
socioeconomic development plan including
sector by sector plans and an ecosystem that
encourages entrepreneurship is also needed so
that those with robust and sustainable
business models can flourish. It is prudent that
governments and financial institutions
constantly re-assess and re-evaluate the state
of play and ensure that the ‘whatever it takes’
promise is truly delivered.

31. ACTUARIAL SCIENCE AND THE
COVID-19 PANDEMIC

32. WHY ACTUARIAL STUDIES
ARE GAINING IMPORTANCE
IN THE COVID-19
CONTEXT?
• A pandemic like the Covid-19 is one such Probable
Maximum Loss Scenario, leading to public health
issues and economic consequences that hugely
impact the insurance industry as the frequency and
size of claims can spike dramatically. Obviously,
being prepared is of utmost value in this scenario,
and I think the demand for actuaries —
specialising in this area — will accelerate, as they
will need to model how the environment will affect
claims and disrupt business plans.

33. PLAUSIBLE MORTALITY
IMPACTS
• An actuary’s immediate reaction to COVID-19 is, of
course, to model it.
• Most pandemic models involve a “spread”
assumption, R0, which represents how many
individuals an infected person will transmit the virus
to (in an otherwise perfectly susceptible population).
An R0 parameter of one, for instance, equates to a
stable state; a value greater than one (at the start of an
outbreak) implies growth in infections, with the
potential for exponential growth in the absence of
interventions. Normal influenza spread implies a
parameter of two to three whereas measles is one of
the most contagious viruses with an R0 of 12 to 16.

34. • Then we have the problem of mortality, the
case fatality rate (CFR), which measures the
mortality of infected cases. Overall estimates
are around 2%, but here there is wide
variation between the experience in Wuhan
(above 5%) and outside that area (of the order
of 0.7%). Reporting and data issues add
further uncertainty; even determining the
number of cases is challenging, especially
given the asymptomatic cases whose number
cannot accurately be measured.
• Our actuaries provide insights as to what
insurers can expect in terms of mortality rates
based on prior global epidemics, examine a
range of plausible COVID-19 mortality rate
scenarios, and break down COVID-19
mortality rates by attained age and pre-
existing conditions.

35. COVID-19 MODELLING:
INSTITUTE OF
ACTUARIES OF INDIA
Given the current global COVID-19
epidemic, IAI has constituted a Research
Group (Group) with the following objectives:
• Analysing the experience emerging from
COVID-19 in India and relevant overseas
markets.
• Drawing inferences from the analysis of
incidence and mortality rates
• Suggestions as to the life/health products
that can be offered to cover COVID-19.

36. HEALTH
INSURANCE AND
THE
CORONAVIRUS
PANDEMIC

38. AREAS IN HEALTH INSURANCE
SECTOR FACING CHALLENGES AND
IMPACTS OF COVID-19
1. Claim Payout and Liquidity
Since the risk of COVID-19 is not currently priced under active
product, the claims arising due to nationwide pandemic may cause an
additional burden on the book of insurers if treated outside government
hospitals.
2. Product Development
In the wake of the pandemic, there has been greater concern and
awareness about health, and enquiries about health insurance policies
have increased by 30-40%. The pandemic also provides an opportunities
for insurance companies to innovate and serve the evolving needs of a
more informed population.
3. Reserve requirement
Due to the pandemic, the government has taken actions towards
reducing bond interest and repo rate, which will lead to challenges for
insurers in terms maintaining high reserves (higher for a life insurer
compared to a health insurer), liquidity risk, credit risk, etc.

39. INSURANCE : INDUSTRY
CONTINUING SERVICE EXCELLENCE
DURING COVID-19 TIMES
1. The immediate concern for insurers alongside with this
pandemic is that protection of employees, its distribution
partners’ health and safety along with the business
continuity.
2. The insurance carriers have lost roughly 48% of the
market value since the crises commenced; with life and
health insurance carriers particularly hit hard with
average drop of 58%. To cover these costs enabling insurers
to remain solvent in a period of increased claims, firms will
have to consider increased premiums in the range of 4-40%
in 2021.
3. Firms should also look into new business opportunities
such as product providing pandemic coverage, cashflow
coverage. Also firms need to recognize and determine if
remote working maybe part of new operational norm.

40. WHAT HAS BEEN AYUSHMANN
BHARAT’S ROLE DURING THE
CORONAVIRUS OUTBREAK IN
INDIA?
1. According to the National Health Ministry they are
managing the call center for 1075 helpline of the ministry.
They fielded about 30000 to 40000 calls a day in terms of
providing information.
2. They now have a big database of citizens. This database
also shows them who are the high risk people, the elderly,
those who have co-morbid conditions etc. they have made
700000 calls to such high risk people. Anyone who has
COVID-19 symptoms doctors call them to ensure they get
the right treatment and information.
3. They have also expanded their empanelment because it is
known that we need more hospitals not only for COVID-19
but also for non-coronavirus cases. In past months they
have actually empanelled more than 1000 hospitals to
take care of such people.

41. CORONA
KAVACH

42. WHAT IS CORONA
KAVACH POLICY ?
1. As the name suggests the Corona
Kavach Policy is a standard health
insurance policy that has been created
specifically to cater to the requirement
of health insurance of coronavirus.
2. The aim of this Coronavirus health
insurance is to extent the protection of
insurance to as many people as possible
so that we can fight the pandemic
together as nation.

43. KEY FEATURES OF
CORONA KAVACH POLICY
1. Individual and Family Floater options available
2. Minimal Waiting Period
The COVID-19 health insurance has a waiting period of just 15
days since the inception of the policy.
3. Multiple Sum Insured Option
You have a range of Sum Insured options to choose between
₹50000 TO ₹5 Lakhs in multiples of 50000.
4. Nominal Sub Limits
5. Extensive Eligibility
Anyone between the age 18-65 ! People covered under family
floater include your spouse, your parents/parents-in-law, your
children (between age of 1 day to 25 years)
6. Cover for Room Rent (in case Hospitalized)

44. INCLUSIONS
1. Pre and Post hospitalization cover
upto 15 days and 30 days
respectively.
2. AYUSH Treatment Cover
3. Expenses of PPE Kits, Gloves
and Oxygen
4. Applicable for both individuals
and families

45. OPTIONAL ADD
ON COVER
1. This add-on cover is a benefit cover
which entitles you to 0.5% of your sum
assured for everyday of hospitalization.
2. Since this is a benefit add-on cover there
are no bills or receipts required. You will
get your due amount under this cover,
provided your base claim is admissible.

46. EXCLUSIONS
1. Any claim in relation to Covid where it
has been diagnosed prior to Policy Start
Date.
2. Day Care Treatment and OPD Treatment
3. Diagnosis/Treatment outside the
geographical limits of India
4. Testing done at diagnostic center which
is not authorized by Government of
India.
5. All covers covered under this policy
shall see if the insured person travels to
any country under travel restriction by
GOI.

47. RESPONSE TO
CORONA KAVACH
POLICY
• The response has been tremendous as people are quite eager
to buy these plans. Since these plans have gone live on the
Policy Bazaar's website, the company has been selling 300-
500 policies per day," said Amut Chhabra, Head-Health
Insurance, Policybazaar.com.
• Subrata Mondal, executive vice president (Underwriting),
IFFCO Tokyo General Insurance, said there has been a very
good response for the COVID-19 specific products that were
launched just a week back. "Majority of insureds are
preferring nine-and-a-half months tenure. This indicates
that people, in general, are expecting the current
pandemic to last for some more time. Nearly 40 per cent
opted for hospitalization cash," Mondal said.
• Officials from different insurance companies highlighted
there have been a considerable increase in awareness of
health insurance since the pandemic outbreak and it is being
reflected in sales of health insurance across the industry.

48. CORONA KAVACH POLICY VS STANDARD HEALTH
INSURANCE POLICY
YOUR
REQUIREMENT
CORONA KAVACH STANDARD HEALTH
INSURANCE POLICY
What is covered? Only COVID-19 Treatment Covers all illnesses. May cover
Covid.
Sum Insured INR 50,000 till 5,00,000 INR 50,000 till 50,00,000
Cover for your
Family
Yes Yes
Maximum Entry
Age limit
65 years 70 years (For senior citizen plan)
Lifetime
Renewability
Not applicable Available
Policy Term 3.5/6.5/9.5 months Minimum 1 year to maximum 3
years
PPE Kit
expenses
Covered Not covered
Waiting period 15 days Minimum 30 days
Pre-existing Not covered Covered after a certain waiting

49. COVID-19 PANDEMIC MAKES HEALTH
INSURANCE A PRIORITY AMONG INDIANS
• Coronavirus has led to increased awareness about the importance of health insurance among Indians. While, only
10 per cent of people were interested in buying health insurance to cover new age diseases in India before the
Covid-19 outbreak, now now as much as 71 per cent people consider health insurance as a necessity to be future
ready to fight unforeseen medical emergencies, finds Max Bupa Covid-19 survey.
• While Millennials (age group of 27-35) are more aware of health insurance plans, as much as 72 per cent of
respondents in the age group are willing to pay more for Covid-19 coverage and are planning to purchase health
insurance immediately.

50. CONCLUSION
•Till the time there is no solution for the
coronavirus in terms of a vaccine or an
antidote, we will have to live with the
issue, practice social distancing and carry
on business to achieve the desired results.

51. National Coronavirus Helpline:
Call this line if you are seeking
information on coronavirus
(COVID-19) or help with the
COVIDSafe app. The line operates
24 hours a day, seven days a week.
1800 020 080