Indian e-commerce retailer Flipkart has received a corporate agent licence, allowing it to sell insurance products on its platform.
The licence comes right as Flipkart begins its annual flagship sale, reports Times of India, and the Walmart-backed retailer has partnered with Bajaj Allianz General Insurance to offer insurance for smartphones, which are among the most popular items included in the sale.
According to the report, Flipkart, by offering insurance for smartphones, will compete with bricks-and-mortar shops, which were the first to offer insurance plans for sold gadgets. Annual premiums start at INR99 (US$1.34), with higher premiums charged for more expensive smartphones.
“In line with our customer-first policy, and as the market leader in this segment, insurance felt like the logical next step in providing consumers with excellent after-sales care for their phones,” said Ravi Garikipati, senior vice president and head of fintech at Flipkart. “The plan, from purchase to claim, will be completely integrated into our online platform.”
Flipkart’s entry into insurance comes alongside that of several other e-commerce firms. Global giant Amazon is offering insurance through Acko, a digital insurance start-up it has invested in. Amazon has also applied for a corporate agent licence from the Insurance Regulatory and Development Authority of India (IRDAI).
Meanwhile, Alibaba- and Softbank-backed Paytm has already obtained a corporate agent licence.
