The acquisition enables CASHe to sell insurance plans across life and general insurance categories from all insurance companies in India.
FinTech BizNews Service
Mumbai, July 10, 2024: CASHe, one of India’s leading AI-based financial wellness platforms, has announced its foray into insurance broking services today. This development follows its parent company, Aeries Financial Technologies’ (AFT) acquisition of 100% of the shares of Hyderabad-based Centcart Insurance Broking Services Private Limited. The company also stated that Centcart Insurance Broking brings with it an IRDAI-approved insurance broking license, ensuring compliance and operational readiness. As a direct insurance broker, the company can now sell insurance products across diverse categories from all insurance companies operating in India, including life and general insurance (such as health and vehicle insurance).
CASHe will not only provide essential services such as policy recommendations, claims assistance, and customized risk management solutions but also offer instant quotes and online purchasing options, thereby enhancing personalized customer experiences. Furthermore, CASHe will also seek to improve user satisfaction through tailored solutions and expert guidance. With this strategic acquisition, CASHe expands its presence across key sectors of the FinTech industry, including Lending, Wealth Management, and Insurance domains. This move underscores CASHe's commitment to offering comprehensive financial services and enhancing its market position in India's rapidly evolving FinTech landscape.
This strategic acquisition also aligns with CASHe's focus on the rural and semi-urban sectors, aiming to bridge the gap in insurance penetration compared to metro and tier-1 cities. The company plans to equip its team with the necessary training and certifications to promote and sell insurance policies effectively. Additionally, CASHe can now offer cost-effective and personalized insurance recommendations to millions of users on the CASHe and Sqrrl platforms.
Mr. V. Raman Kumar, Founder Chairman of Aeries Financial Technologies, said, "India, as one of the fastest-growing economies globally, has experienced a surge in demand for insurance products and services, resulting in a notable increase in insurance penetration through brokers. This acquisition represents a significant milestone in our insurance journey, bolstering our momentum and accelerating growth in this sector. It empowers us to offer a wider range of products from multiple insurance partners, capitalizing on the immense potential of India's under-penetrated insurance sector. Our goal is to offer millions of users the option to purchase insurance products at competitive prices. Through innovative collaborations with top insurers, we are committed to constructing a robust, full-service platform for our highly engaged customer base, bringing us closer to becoming the preferred destination for all their insurance needs.”
“The new broking license also enables CASHe to provide personalized product recommendations to its over 50 million users on its platform and offers a diverse portfolio of insurance products to users across India. This strategic acquisition marks a significant milestone in our insurance journey, enhancing our momentum and accelerating our growth in this space. We are actively developing a robust, full-service platform for our deeply engaged customer base through innovative products in partnership with high-quality insurers. This move solidifies our path toward becoming a one-stop destination for all our customers' insurance needs,” Mr. Kumar adds.
In 2024, the insurance broking industry in India is projected to experience robust growth with a Compound Annual Growth Rate (CAGR) of approximately 25%, driven by increased insurance penetration and the growing demand for insurance products in one of the world's fastest-growing economies. This expansion is further supported by strategic initiatives and regulatory reforms to foster a more conducive environment for insurance brokers.
The Insurance Brokers Association of India (IBAI) has highlighted the remarkable growth trajectory of the broking sector, which aims to capture a market share of 45% by 2030. This optimistic outlook underscores the significant opportunities within the industry, reflecting a robust future trajectory and the potential for sustained development in the coming years.
