The Insurance Regulatory and Development Authority of India (IRDAI) has cleared the way for top fintech PhonePe to roll out full-stack financial services. The platform has received an insurance broking licence from IRDAI, which will help India's biggest digital payments operators by transactions to further its operations in the financial sector.
With the latest clearance, the fintech startup, which is part of the Walmart-owned Flipkart Group, can now distribute policies from all companies across categories thereby helping the firm diversify its offerings while also being able to offer recommendations.
PhonePe started selling insurance policies as a corporate agent last year, which allowed it to list insurance plans from three companies each from the life, health and general insurance categories.
“…this move to broking will give us further momentum and accelerate our growth in this space,” Gunjan Ghai, vice president and head of insurance at PhonePe, said. “We are building a robust, full-service platform for our deeply engaged customer base through innovative products in partnership with high-quality insurers.”
After emerging as one of India's leading digital payments facilitators over the last two years, PhonePe has now moved into as a full-stack financial services player. The firm last week announced that the Reserve Bank of India has cleared in-principle licence to operate as an account aggregator.