Oct 26: India’s leading stock exchange BSE and world’s leading insurance exchange Ebix, Inc., on Thursday announced that they have signed a memorandum of understanding to set up a joint venture, targeted towards setting up a pioneering robust insurance distribution network in India.
“BSE Investments Ltd (BIL), a 100% subsidiary of BSE and Ebix Fincorp Exchange Pte Ltd, a 100% subsidiary of Ebix today signed this MoU, with the goal of revolutionizing end-to-end sales and processing of Insurance in the country,” the company said in a statement.
According to the statement, the new venture, to be branded as BSE-Ebix, intends to deploy an insurance distribution exchange platform that will allow distribution outlets, stock brokers, wealth management advisors and financial institutions etc. across the length and breadth of the country to sell life and non-life products. The venture will utilize the distribution reach of both BSE and Ebix that spans more than 2,00,000 outlets across the entire expanse of the country.
“The state of the art platform that will leverage Ebix’s world leading end-to-end insurance exchange technology, will encompass the entire insurance life cycle from customer relationship management, agency management, multi-quoting, underwriting, policy creation, claims filing & settlement, to back end insurance policy administration,” it said.
Speaking at the occasion, Ashishkumar Chauhan, MD and CEO, BSE, said, “BSE welcomes the collaboration between BIL and Ebix. We are pleased to team up with Ebix in this venture which has a potential of allowing consumers across the length and breadth of the country, easier and faster access to preserving their wealth through buying insurance and expeditious claims settlement. It shall be our endeavor to provide customers a world class experience by being close to where they are by leveraging our vast hugely compliant distribution network, as also through the adoption of state of the art world leading technology.”
Led by an Indian – American CEO, Ebix was recently ranked amongst the World’s 100 Fastest Growing Companies by Fortune magazine in September 2017. Ebix CEO Robin Raina who is presently visiting India, has the unique distinction of being the only CEO on Fortune’s 2017 list of Fastest Growing Companies in the world, who has featured on the coveted Fortune list 5 times in the last decade, as also providing 21,000 percent shareholder return since he assumed leadership of Ebix.
According to Raina, “we are excited to be teaming up with Bombay Stock Exchange in this venture, that we feel can revolutionize the end-to-end processing of insurance in India. Our intent is to do that by going PHYGITAL – owning the last mile and combining the physical reach of tens of thousands of distribution outlets across the country with state of the art end-to-end technology and processes.”
This joint venture with one of the world’s largest stock exchanges with overall market capitalization of more than $2 trillion, is part of Ebix’s ambitious drive to pioneer the convergence of insurance and financial channels in India. Towards that extent, Ebix recently announced that it intends to invest $200 million in India. The company recently announced four acquisitions in the financial exchange sector, with the goal of embracing Prime Minister Modi’s vision of a Digital India, while being a one-stop PHYGITAL platform for money remittances, bill payments, pre-paid & gift cards, insurance, mutual funds, mobile & dth recharges, travel ticketing etc.