With this initiative, PhonePe is ushering in a new era of financial inclusion in India, offering quick and convenient access to life insurance without the need for extensive income verification.
To enable this feature, PhonePe has partnered with leading insurers, allowing them to serve a broader audience. Over 30 million individuals who were previously unable to avail of term insurance due to the lack of income proof can now do so through the PhonePe platform. This includes a wide range of users such as merchants, self-employed individuals, gig workers, and others who may not have formal salary or income documentation.
The introduction of this feature represents a significant step forward in making insurance products more inclusive. By removing traditional barriers, PhonePe is helping to bring essential financial products within reach of a much larger segment of the population. This move not only benefits the users but also supports the insurance providers in expanding their customer base.
PhonePe is committed to scaling up this offer and aims to extend access to up to 50 million users by the end of this year. The company is focused on ensuring that more people can seamlessly avail of term insurance products, contributing to greater financial security and protection for all.
Vishal Gupta, CEO at Vishal Gupta, CEO at PhonePe Insurance Broking Services, commented “We are excited to announce the launch of the ‘pre-approved sum assured (PASA)’ feature on our platform. This launch is aimed at bringing the previously under-served customers into the term life insurance net by making the products more accessible and affordable to Indians across various socio-economic strata.
By partnering with industry leaders and collaborating with them deeply we are able to simplify user experience and deliver tailor-made offerings that are industry leading and solving for specific cohorts in an inclusive manner. Our mission is to drive insurance adoption in the country by making the insurance buying process simple, easy and affordable for all.”
PhonePe, in collaboration with its insurance partners, identifies a user base eligible for the pre-approved term insurance process, based on established underwriting principles. The company has developed these criteria in close cooperation with insurers to ensure that users are empowered, while also adhering to the underwriting guidelines mandated by regulators.
