Insurance player Policybazaar Insurance Brokers (Policybazaar), a wholly-owned insurance subsidiary of PB Fintech has received the approval of the Insurance Regulatory and Development Authority of India (IRDAI) to elevate its license from a direct insurance broker to a composite insurance broker.
The approval will enable the company to work with both end-users and primary insurers, and primary insurers and reinsurers.
“Insurance Regulatory and Development Authority of India (Irdai) has granted the in-principle approval to Policybazaar Insurance Brokers Private Limited (Policybazaar), a wholly-owned subsidiary of the company for the upgradation of license from direct insurance broker (Life and General) to the composite insurance broker,” the company said in its exchange filing.
The company aims to expand its operations nationwide by leveraging advanced technology, process control, and data analytics-driven innovations to enhance reinsurance capacity.
It further added, “We have, quite an interesting business mix and a lot of strategic things that we need to keep managing. So yes, we continue to be active managers and also continue to expand into new opportunities. I think you also know that we have things going on in terms of account aggregation. We are looking at the reinsurance brokerage,”
Talking to the newspaper The Economic Times, PB Fintech chairman and cofounder Yashish Dahiya is preparing to return a part of its capital to stakeholders either through a share buyback or dividends.
In the December quarter, PB Fintech achieved its inaugural net profit of Rs 37.2 crore, a significant turnaround from the net loss of Rs 87 crore in Q3FY23. Concurrently, the company witnessed a 43 per cent year-on-year increase in revenue from operations, reaching Rs 871 crore.
He goes on to say that the company is looking to apply for a payment aggregator license to improve efficiencies around settlements for customers in case of cancellation.
Meanwhile, the shares of PB Fintech witnessed a surge of around 6 per cent on Monday. At the time of writing this report, the shares were trading 6.13 per cent higher at Rs 989.00 on BSE.
