Mahindra and Manulife Enter Life Insurance JV in India

Mahindra & Mahindra and Toronto-based Manulife have announced a 50:50 life insurance joint venture in India, with each committing Rs 3,600 crore. Aimed at the rural and semi-urban markets, this venture builds on their existing partnership in asset management and leverages technology to tap into India's booming insurance market.

Mahindra & Mahindra has partnered with Toronto's Manulife to form a new life insurance joint venture in India, both companies announced Thursday. The venture will see each corporation invest Rs 3,600 crore, targeting the rapidly expanding insurance market, particularly in rural and semi-urban areas.

The strategic move further cements Mahindra and Manulife's ongoing collaboration, enhancing their reach and capabilities in India's financial services sector. This development follows the successful launch of their asset management enterprise in 2020.

With a focus on leveraging technology and bolstering distribution networks, the joint venture aims to address India's high protection gap and low insurance penetration. Regulatory approvals are now being sought, as the partnership positions itself for long-term growth in a market poised to become a global leader.

(With inputs from agencies.)