Kotak Mahindra General Insurance Company (Kotak General Insurance) announced it has been granted certificate of registration (R3) by Insurance Regulatory and Development Authority of India (IRDAI) to commence business as an Indian insurance company.
The insurer has received permission to underwrite all classes of general insurance business (Including health insurance).
Mahesh Balasubramanian is the Chief Executive Officer of Kotak General Insurance. "Being a new entrant, we will have opportunities to embrace new technologies and developments in the digital world to provide innovative products and solutions, which will deliver superior customer experience," said Balasubramanian.
Kotak General Insurance will initially focus on the retail side of the business comprising motor insurance, health Insurance, home Insurance and travel insurance.
The company will soon expand into the commercial lines of business, which includes fire, burglary and marine among others. At inception, the general insurer has been capitalised at Rs 135 crore.
In November 2014, Kotak Mahindra Bank had announced that it will foray into the general insurance business.
Gaurang Shah, President - Asset Management, Insurance and International Business, Kotak Mahindra Bank, said it is a 100 per cent subsidiary of Kotak Mahindra Bank, which it the only bank promoted general insurance company without a foreign partner.
Shah also added that the merger of ING Vysya Bank with Kotak Mahindra Bank has also given them a larger customer base and an increased geographical footprint of more than 650 locations and 1,280 branches.
The general insurance industry has 28 companies and Kotak General will be the 29th company in the sector. This will take the total count of the number of insurers in India to 54, with 24 life insurers and 29 non-life insurers and one reinsurer.