Digital payments platform PhonePe has recently launched a new feature called ‘pre-approved term life insurance’ on its platform. According to a statement released by PhonePe, this innovative feature aims to enhance the accessibility of insurance coverage for millions of individuals in India.
PhonePe’s new initiative is aimed at revolutionising financial inclusion in India. The step introduces insurance products that are designed to be inclusive, providing timely and convenient access to life insurance coverage. Notably, this innovative approach eliminates the need for extensive income verification processes, making it more accessible to a wider range of individuals.
Key features:
> The pre-approved term life insurance offered by PhonePe eliminates the requirement for formal proof of income or salary. This makes it particularly convenient for individuals such as gig workers, self-employed persons, and merchants who may not have traditional income documentation.
> This feature is designed to widen the accessibility of insurance coverage to a significant number of individuals – initially targeting over 30 million people who were previously unable to secure term insurance due to the lack of income proof. PhonePe has ambitious plans to increase this reach to up to 50 million users by the end of the year.
> In order to make this initiative successful, PhonePe has formed partnerships with prominent insurance providers. These collaborations not only facilitate the provision of term life insurance but also contribute to enhancing financial inclusion across various socio-economic segments.
> PhonePe endeavors to enhance accessibility and affordability of term life insurance, with the ultimate goal of promoting wider insurance uptake in India. This initiative is designed to extend coverage to marginalized communities that have historically been underserved in the insurance sector.
The company has established partnerships with prominent insurers to integrate this feature into its platform. This collaboration not only facilitates insurance providers in catering to a wider audience but also allows over 30 million individuals, previously unable to access term insurance due to the absence of income verification, to now benefit from this offering.
With the new feature, PhonePe has made it possible for millions of users, including merchants, self-employed individuals, gig workers, and various other segments without traditional income documentation, to effortlessly acquire term insurance products through its platform.