Mahindra-Manulife Join Forces to Revolutionize India's Life Insurance Market

Mahindra & Mahindra has partnered with Manulife to form a 50:50 life insurance joint venture, investing Rs 7,200 crore. The aim is to become India's leading insurer, especially in rural areas. The JV expects a valuation of Rs 18,000 crore to Rs 30,000 crore in ten years.

In a significant development, Mahindra & Mahindra announced a joint venture with Toronto's Manulife to establish a life insurance enterprise with equal stakes, entailing an investment of Rs 7,200 crore. The initiative seeks to capitalize on India's under-penetrated insurance sector, aiming for a valuation between Rs 18,000 crore and Rs 30,000 crore in the next decade.

Anish Shah, CEO & MD of Mahindra Group, emphasized the ambition to lead the life insurance market in rural and semi-urban regions while also capturing urban market segments. The joint venture stands prepared to apply for an insurance license, anticipating operational commencement within 15 to 18 months.

Speaking on the strategic partnership, Manulife President Phil Witherington expressed confidence in leveraging Mahindra's distribution network alongside Manulife's insurance expertise to capture growth in India's burgeoning market. Highlighting the growth potential, India's life insurance sector is one of the fastest-growing, supported by economic expansion and regulatory conditions.

(With inputs from agencies.)