Bharti AXA Life Insurance and Airtel Payments Bank announced an alliance to offer a government-backed life insurance scheme aimed at increasing the penetration of life insurance among underinsured masses and contributing to financial inclusion in the country.
The product – ‘Pradhan Mantri Jeevan Jyoti Bima Yojana’ (PMJJBY) – provided by Bharti AXA offers Rs. 2 lakh ($200,000) life insurance coverage for a nominal premium of Rs 330 a year and can be purchased by all existing or new Airtel Payments Bank savings bank account holders between the age of 18-50. The process of purchasing the policy is paperless and completely digital.
Under the deal with Airtel, PMJJBY will be initially available at 100,000 Airtel Payments Bank banking points across the country. Airtel Payments Bank plans to scale up the availability to over 500,000 banking points to enable the product to reach even the remotest corners of India.
Commenting on the strategic alliance, Mr., said,
“[Our] unique distribution network allows financial inclusion to reach the 190 million underinsured Indians,” said Anubrata Biswas, managing director and CEO of Airtel Payments Bank.
Vikas Seth, CEO and managing director of Bharti AXA Life Insurance, said the alliance with Airtel Payments Bank will help strengthen Bharti AXA’s strategy of multi-channels distribution and presence across India. ‘’Through our association with Airtel Payments Bank, we plan to bring more insurance products which will improve insurance inclusion and penetration for the country.’’