NBFC-Insurance Synergy – Seize The New Wave

Banks have always been at the center of partnerships with other financial sectors, be it mutual funds or insurance or NBFCs. Now a new pattern is emerging and scaling rapidly. That is the #partnership between NBFCs and insurance companies. The numbers substantiate the growth of both these sectors. What is interesting is that they are finding synergy with each other to engage with each other’s customer segments.

Witness some of the recent tie-ups.

Muthoot Finance and Digit Insurance tied-up to promote micro-insurance products. The partners are collaborating to provide affordable health and accident insurance tailored for lower-income groups, which will be seamlessly bundled with Muthoot's popular gold loans.

Bajaj Finserv and Acko General Insurance have pioneered digital-only insurance solutions. Leveraging Bajaj Finserv's extensive distribution network, this collaboration focuses on delivering innovative, customer-centric insurance products, thereby enhancing financial protection for the middle-class segment.

Can health insurance be ignored? In another impactful alliance, Manappuram Finance and Care Health Insurance integrated health insurance with gold loans. The collaboration aims to penetrate the market of underserved individuals and families by providing health insurance coverage to customers availing gold loans. 

So what is in it for #farmers? L&T Finance and HDFC Ergo have joined forces to provide integrated crop insurance solutions. This initiative combines their respective expertise to safeguard farmers against weather anomalies and crop failures. 

These collaborations exemplify the deepening symbiosis between NBFCs and insurance firms.

Banking Frontiers Frontiers (published by Glocal Infomart Pvt Ltd) is organizing its annual InsureNext Conclave on January 24, 2024 at Hotel Sahara Star. A large number of insurance companies and insurtechs will be present at this conference.

This is a golden opportunity for NBFCs to meet the key people at the insurance companies and explore partnerships. If you are an NBFC and wish to join this conference, you are invited to register here: https://pmny.in/IrL5erH3kvhf