Nine insurance companies including HDFC Ergo and SBI General have submitted their plans for an Initial Public Offering (IPO) to the Insurance Regulatory and Development Authority of India (IRDAI), according to an Economic Times report.
HT couldn't independently verify the information.
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This follows the regulator's push for them to get listed. Though listing isn't mandatory as of now, the IRDAI has been encouraging insurers to go public since it would help improve corporate governance and also in raising funds.
As a result, 10 large insurance companies were supposed to submit their listing plans to the IRDAI. This includes Bajaj Allianz Life, Bajaj Allianz General, Tata AIA, and Tata AIG General Insurance, to submit their listing plans by the first week of February.
Nine of them have submitted, but one has asked for extra time till later this month for submitting the proposal, according to the report.
{{/usCountry}}Nine of them have submitted, but one has asked for extra time till later this month for submitting the proposal, according to the report.
{{/usCountry}}The IRDAI will now review the plans before determining the next steps.
However, this will take some time to complete. Established insurers will take at least four quarters to complete the process while the newer ones could take as much as six quarters or more, according to the report.
India's insurance industry which opened to the private sector in 2000 has 26 life insurers, 27 general insurers (including two specialised insurers), eight standalone health insurers, and 12 reinsurers (including 11 foreign reinsurance branches), the report read.
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India, with an insurance penetration of 3.7% insurance density of $95 (per capita premium) in 2024, lags behind global benchmarks of 7% insurance penetration and density of $889 in 2024, according to the report.