The private life insurance company, Bharti AXA, tied up with the new online payment platform by Airtel, Airtel Payments Bank, to offer the Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY). Existing and new customers of Airtel Payments Bank between ages 18 years and 50 years can avail the government-backed life insurance plan.
PMJJBY is a term insurance plan sponsored by the government which provides Rs.2 lakh coverage at a nominal premium of Rs.330 per year. The process of purchase of the policy is paperless and completely secure. The digital process makes it convenient for the customers.
The partnership of Bharti AXA and Airtel Payments Bank will increase the insurance penetration in India by creating a wide network including even remote villages. While PMJJBY will be available at 1 lakh distribution points initially, 4 lakh more distribution points will be set up gradually.
With this unique insurance distribution channel, Bharti AXA will be able to reach out to the 190 million under-insured citizens of India and will help the company build their insurance distribution strategy.
Airtel Payments Bank will be the first payments bank to distribute the Pradhan Mantri Jeevan Jyoti Bima Yojana insurance plans.
Source: Money Control