PhonePe expands into financial services, launches int'l travel insurance

In an attempt to diversify and go deeper into the Indian financial services market, Walmart-owned digital payments firm PhonePe has forayed into the insurance segment. The Bengaluru-based firm has launched international travel insurance in collaboration with Bajaj Allianz General Insurance. 

PhonePe, which competes with Alibaba-backed Paytm, Amazon Pay and Google Pay, claimed it is India’s first digital payment platform to launch international travel insurance.

“Our travel insurance product is an indication of our commitment to providing business and leisure travellers with insurance coverages that are convenient to not only buy but also self-service,” said Gunjan Ghai, head of Insurance, PhonePe. “ We believe our travel insurance offering is empowering for customers, especially when they can carry their policy on their mobile while abroad.”  

PhonePe said its 'Travel Insurance' offering comes with first of its kind exclusive benefits such as a high sum insured of up to $1 million, special pricing starting at Rs 216, instant refunds with no cancellation charges before the travel start date. It also includes 24x7 international travel assistance for customers throughout their journey across 220 countries.

“We would be offering a wide range of unique financial products through this year as we go deeper in understanding consumer needs and solving them through strong partnerships in the industry,” said Hemant Gala, head payments, banking and financial services, PhonePe.

In a country of 1.3 billion which is mostly un-insured or under-insured, India’s insurance market has a huge potential. The insurance penetration was projected to pass 4 per cent in 2017 and estimated to quadruple over the next 10 years from $60 billion, according to India Brand Equity Foundation.