Aegon Life & Ahalia Finforex bring Life Insurance access to over 5 lac small-town customers
New Delhi, 31 March 2022: Aegon Life, India’s leading digital life insurance company, has partnered with Ahalia Finforex, a Kerala-based diversified financial services firm, to provide life insurance access to the unorganized and unserved segments residing in Tier 2, Tier 3, and Tier 4 towns. The move is a significant step towards its vision to make every household financially secure.
The exclusive partnership between Aegon Life and Ahalia Finforex provides insurance coverage to 5 lac+ Ahalia customers via the insurer’s Group Credit Life product. It allows borrowers to access loans without putting an undue financial burden on their dependents. Moreover, in the event of the borrower’s death, Aegon Life protects their family from loan repayment with the insurance cover covering the loan amount.
Customers can avail this product with a one-time affordable premium, making it easily accessible to the unserved and unorganized segment of customers.
Satishwar Balakrishnan, MD, and CEO of Aegon Life, said, “As India’s leading digital life insurer, we are committed to securing every household financially. Through this partnership, Ahalia’s customers in Kerala can access financial protection when taking a loan, ensuring that the borrower’s demise does not bankrupt the entire household.
We want consumers to realize the benefit and financial safety that Life Insurance provides. Partnerships like this allow us to address the larger issue of inadequate financial protection. Through Aegon Life’s partner strategy, we will onboard 100 partners in 2022, and this makes us uniquely suited to solve the protection gap for under-penetrated customer segments.”
The Group Credit Life Insurance cover is attached to a lending product like a loan. It safeguards the interests of the borrower’s family, helping them avoid a debt burden while protecting the lender from an unpaid loan. The product can be purchased offline, via branches of Ahalia Finforex.
According to N. Bhuvanendran, Managing Director of Ahalia Finforex, “Across our 60+ branches in Kerala, we see an inflow of customers who are not fully aware of the need for insurance and the protection such products offer to the unorganized sector. With this partnership, we will cater to the unserved populace in small towns, helping them access insurance cover against the loans, which could weigh on them in the untimely demise of the borrower. We believe there is a real need for such innovative solutions.”
Noby M. Thomas, MD and CEO of Ahalia Insurance Brokers Pvt Ltd said, “Through the media, almost every day, we come across instances where a family suffers due to the huge debt burden transferred in the event of the death of the sole bread winner. In line with the Ahalia Group’s motto ‘Care for Humanity’, we decided to design a Group Credit Life product for NBFCs thereby enabling financial freedom to the loanees against such unforeseen events.”
Aegon Life has successfully onboarded partners like Flipkart, Paytm, Mobikwik and others. It plans to onboard 100 distribution partners in 2022.