This paper analyzes the causes, importance and effect of paradigm shift in general insurance sector from 'policy-centric' to 'customer-centric' and eventually the gradual penetration of 'Customer Centric Business Strategy' in the mentioned sector. The main motto is to present some innovative strategic ideas, implementation of which can bring in positive impact in real-life scenario. Background considered is Indian general insurance in the discussion. Emphasis is mainly given on Customer Relationship Management.