Postal Department to sell products of other insurers
Posted on: 27/Jan/2015 2:13:13 PM
It has been decided to sell products of other insurers through post offices. Prime Narendra Modi held a meeting with the Department of Post. The Department of Post conveyed its intentions to enter the insurance space targeting rural India.
The proposed Post India Insurance will start with an initial capital of Rs.100 crore that will be made available by Department of Post. In rural areas there is a need for various types of insurances like crop insurance, accident cover, insurance of agricultural equipment, etc.
Since India Post is operating in the insurance sector for well over a century, there is no reason why it should not be allowed to extend the spectrum of its insurance services to these areas through agency agreements or a broker’s licence.
