BSE (Bombay Stock Exchange) has entered into an agreement to set up a joint venture with the world's largest insurance exchange Ebix to establish a robust distribution exchange platform for insurance products.
The new venture to be branded as BSE-Ebix will launch the insurance distribution exchange platform, that will allow distribution outlets, stock brokers, wealth management advisors and financial institutions across the country to sell life and non-life insurance products, reported Press Trust of India.
The platform will leverage Ebix's end-to-end insurance exchange technology and will enable customer relationship management, agency management, multi-quoting, underwriting, policy creation, claims filing and settlement, to backend insurance policy administration.
A memorandum of understanding in this regard was inked yesterday between BSE Investments and Ebix Software India.
BSE Managing Director and CEO, Ashishkumar Chauhan, said: "Insurance is a large part of the government's vision to create safe secure life and we were looking to use digital in a more useful way. BSE has a huge reach and large network of brokers so we thought of training some of them and bringing them into this area (insurance)."
He also said BSE plans to use its network to provide fast, easy and automated distribution of insurance products.
Nasdaq-listed Ebix's CEO Robin Raina said the joint venture, which would be rolled out after regulatory clearance, would be initially implemented on a pilot basis in some regions.
Mr Raina said: "With a population of about 1.2 billion people and the largest growing middle class in the world, India is set to be a large insurance market -- as wherever people create wealth, they tend to find ways to protect it through insurance."