PB Fintech, which operates insurance and credit aggregator platforms like PolicyBazaar and PaisaBazaar, is looking to diversify its business.
Sources told CNBC-TV18 that the insurance aggregator has held informal conversations with the regulator, IRDAI, to understand the reinsurance market and its prospective business foray into it. The company has also been working with working with legal experts on its entry into reinsurance.
The sources also point out that PB Fintech would look to start its reinsurance business by itself without a foreign or domestic partner. At a later stage, it would explore the possibility of attracting investments from a foreign or an Indian partner in its reinsurance business, reported CNBC-TV18.
Meanwhile, PB Fintech has clarified that it has no plans to become a direct insurer or apply for any such licence since it would be a conflict of interest with its insurance partners. “We constantly endeavour to work with and support our insurance partners in product and proposition development and will continue to do so,” according to an exchange filing on 8 September 2023.
The reinsurance market in India could be an interesting opportunity, unlike direct insurance which is a crowded market, reported BQ Prime, quoting the investment bank Morgan Stanley.
