Paytm was right to get into selling insurance. But two years in, its ambition to build its own insurance business has gone nowhere.
Eight months after Paytm announced the acquisition of Raheja QBE to signal its entry into the insurance business, the transaction has yet to close. According to two people aware of the matter, the Insurance Regulatory Development Authority of India has dragged its heels on signing off on the transaction. This limbo, according to both people, one of whom is a former Paytm executive, seems to have resulted in Raheja QBE walking out of the transaction. We, however, could not independently verify whether or not talks have ended.
“IRDA is a totally unpredictable regulator,” says one of the two executives; he …
Arti is a former writer at The Morning Context. She previously worked with publications such as ET Prime, VCCircle, Firstpost and EETimes. Arti has keenly tracked the evolution of financial technology in India and written some of the defining pieces on the ecosystem as it birthed and matured. Even when not writing about it, she loves to dissect the revenue models, margins and regulations that are shaping the sector.
artisingh@mailtmc.com