HDFC ERGO DOMINATES MARKET SHARE IN POLICY SALES THROUGH THE CSC CHANNEL

by Shrutee K/DNS

Mumbai, 21 March 2017: HDFC ERGO General Insurance Company, India’s third largest non-life insurance company in the private sector, emerged as market leader with 55% market share in the distribution of General Insurance policies through the Common Service Centres (CSCs) platform. With this, HDFC ERGO becomes the largest contributor to CSC channel, which is a strategic cornerstone of the National e-Governance Plan (NeGP) approved by Government of India.

HDFC ERGO started its journey on the CSC platform in February 2014 in the states of Uttar Pradesh and Andhra Pradesh, post which the states of Maharashtra, Punjab and Meghalaya were added. The company expanded its CSC coverage to the pan-India level in August 2014. The company has recorded steady progress on increasing its presence on the CSC platform with close to 10,000 RAPs actively recommending HDFC ERGO’s products today. With the release of the New CSC Regulation in Oct 2015 and subsequently upon receipt of Approval on LOI from the IRDAI in July 2016, HDFC ERGO commenced soliciting Insurance Policies for Motor Third Party Liability Only Insurance, Kisan Sarva Suraksha Kawach Insurance (Farmers' Package Policy), Personal Accident Insurance and Standard Fire & Special Perils Insurance (Dwellings Only) through the RAPs (Authorized CSCs).

Speaking on the occasion, Mr. Anuj Tyagi – Executive Director, HDFC ERGO General Insurance Company said, “We are the first to launch a product through the Common Service Centre route. Today with over 150,000 policies issued through this channel, we are a leading player both in terms of number of policies issued and total premium underwritten. Policy distribution through CSC network is helping address the reach enhancement of insurance products in rural areas

The Company has designed simple, easy-to-understand Over the Counter (OTC) products for sale on the CSC platform that require minimal paperwork. With a reach of around 100,000 rural RAPs servicing over 600,000 villages as single-window access to customers, HDC ERGO has ensured wider distribution of its products. CSCs are the access points for delivery of various electronic services to rural areas in India, thereby contributing to a digitally and financially inclusive society. They enable in bringing together the three vision areas of the Digital India program i.e. Digital Infrastructure as a Core Utility to Every Citizen; Governance and Service on Demand; and Digital Empowerment of Citizens. CSCs are positioned as change agents, promoting rural entrepreneurship and building rural capacities and livelihoods. They have become more than a service delivery point for rural India. CSC engenders a social change through a bottom-up approach with key focus on the rural citizen, which has made them more than a service delivery point for rural India.

About HDFC ERGO: HDFC ERGO General Insurance Company is a 51:49 joint venture between HDFC Ltd.; India’s premier Housing Finance Institution and ERGO International AG; the primary insurance entity of the Munich Re Group of Germany. HDFC ERGO is India’s third largest non-life insurance provider in the private sector. The company offers complete range of general insurance products ranging from Motor, Health, Travel, Home and Personal Accident in the retail space and customized products like Property, Marine and Liability Insurance in the corporate space. HDFCERGO is expanding its network across the country and is today present in 108 branches spread across 91 cities with an employee base of over 2000 professionals. The Company also has a wide distribution network besides its own direct sales force.