The first phase of Bima Sugam is expected to be launched around April next year, IRDAI chairman Debasish Panda said at a meeting that reviewed the e-marketplace design mooted by the regulator to make insurance more accessible, affordable and user-friendly.
Significant progress has been recorded in the implementation of the project and formalities related to the registration of the entity to be registered as a Section 8 (non-profit) company, i.e. Bima Sugam India Federation, have been completed. The process of appointing the CEO and CEO as well as other key management personnel of the entity is nearing completion, the General Insurance Board said at its meeting in Mumbai on June 7, which was attended by CEOs of life, general and health insurers as well as life insurance representatives and general Insurance Councils.
There was also a review of Bima Sugam’s business structure and updates from various subgroups, including operations and technology. Additionally, the company’s proposed first directors engaged in an informal discussion on the broad action plan in connection with the launch of Bima Sugam, the board said in a statement.
Bima Sugam is a revolutionary project for the Indian insurance sector, aimed at democratizing and universalizing insurance in India and probably one of the first of its kind in the world. The first phase is expected to launch around April 2025, Panda said.
Bima Sugam, along with proposed women-led distribution channel Bima Vahak and comprehensive insurance cover Bima Vistaar, form the trinity proposed by IRDAI to augment insurance penetration, especially in the hinterland.
“The successful incorporation of Bima Sugam India Federation as a non-profit entity paves the way for the appointment of key leadership and finalization of the operational framework. The concerted efforts of all stakeholders are crucial and we are confident that the Bima Sugam platform will play a key role in ensuring Insurance for All by 2047.” – said GI Council chairman Tapan Singhel.
The council said the meeting also included discussions on the recently notified health insurance regulations/circular.