You really think so? In India majority of ppl no matter how rich they are don't like to pay unless absolutely necessary. India's health/life insurance coverage is far below global avg despite having many ppl who can clearly afford it & here we are talking about used products insurance through courier which is already a negligible minority.
You are referring to health insurance but there is one stat I like to quote.
Over 20 years back there was $1 bn fraud committed annually in the credit card industry.
Know what share legit transactions made? $99bn
So the fraud is negligible and the upside huge.
I really don't think insuring used goods for delivery is that difficult a problem to solve. Yeah, you might get away once. But to be profitable you need to do it many times. At which point their AI will catch it.
How much more business will be attracted if there was peace of mind when sending your parcel anywhere in the country especially when insured amounts are tiny and don't even cover the full amount?
Isn't there a huge second hand market in this country. Not everyone can afford brand new.