Entry of 2 life insurance companies in India: IRDAI licenses Acko and Credit Access for insurance business.
Insurance Regulatory and Development Authority (IRDAI) has approved the insurance license of 2 new companies in India. IRDAI has given this approval to Eko Life Insurance Limited and Credit Access Life Insurance Limited in its 121st meeting to be held on March 25, 2023.
IRDAI has given this approval to do insurance business after 12 years. Earlier in the year 2011, approval was given for the license. After granting license to these two companies, the number of insurance business operating companies in India has increased to 26.
Pending license of 20 insurance companies
IRDAI has issued a statement saying that apart from these two companies, licenses of 20 insurance companies are pending in different stages of registration.
Insurtech companies raised money after Kovid
Acko already runs an insurance company named Acko General Insurance. It is bagged by companies such as General Atlantic and the Canada Pension Plan Investment Board (CPPIB). After becoming a unicorn in October 2021, the company is now trying to raise capital. Acko currently offers insurance in the Auto, Health and Travel segments. Also, Eko has partnered with cab-aggregators Ola and Amazon to provide small-size insurance through their apps.
Insurtech companies such as Acko, Digit and Plum have seen a large number of customers buy insurance with smaller insurance covers following the COVID-19 pandemic.
Credit Access Gramin Limited is India’s Largest Microfinance Institution
Credit Access Gramin Limited is India’s largest microfinance institution with the largest microfinance market share in the world. Credit Access Life Insurance Limited is its insurance company.
