PhonePe sells over 1 mn two wheeler insurance policies on its platform

Sees over 75% of overall insurance purchases from tier 2 & 3 cities

Walmart-owned digital payments firm PhonePe said it has sold over 1 million two-wheeler insurance policies on its insurance broking platform since the launch of the product. The company also said over 75 per cent of overall insurance purchases come from tier-2 and tier-3 cities showcasing wide adoption of its offerings in non-metros cities and towns. The firm said this milestone is a key marker in PhonePe’s vision of making insurance products accessible to all. PhonePe aims to help reduce the number of uninsured vehicles on the road with a wide selection of policy types, affordable prices and a paperless 2-minute process.

“It is gratifying to note that more than 75 per cent of the purchases come from tier 2 and 3 cities which is a testament to the fact that our product adoption in India has been truly inclusive,” said Prannay Batra, head of General Insurance, PhonePe. “We aim to double down on this early momentum to drive insurance adoption in the country in line with the IRDAI’s (Insurance Regulatory and Development Authority of India) vision of insurance for all by 2047 while working closely with our insurance partners to make insurance products simple, affordable and accessible to all.”

The firm said apart from its 2-wheeler insurance, customers can get hassle-free renewals and instant issuance even for expired policies without any inspection. The company said its innovative features, along with an intuitive onboarding and purchase experience, are driving the adoption of insurance products on PhonePe across India.

The company further added that over 80 per cent of 2-wheeler insurance was bought by users with expired covers. This indicates that these offerings on the PhonePe platform are serving previously underserved segments, who did not have enough awareness and a convenient avenue to renew their insurance. For two-wheeler insurance, PhonePe users are choosing comprehensive plans which cover both third-party vehicle damages and own vehicle damages. PhonePe attributed this to the effort the company has put into increasing customer awareness, affordability and availability of such insurance products on its digital platform.