WhatsApp set to add insurance and pension plans to its IM service bouquet

WhatsApp has partnered with different financial institutions to provide accessible financial products to users across India.

After the launch of its mobile payment service, WhatsApp is ready to introduce various health insurance and micro-pension products in India that will be accessible via the messaging app. With over 400 million active users, the Facebook-owned messaging platform is partnering with various financial institutions to provide accessible financial products to users across the country.

What exactly is on the cards?

In the initial phase, WhatsApp will be partnering with SBI General to offer pocket-sized, affordable health insurance plans. It has also tied up with HDFC Pension Management Co. and pinBox to offer micro-pension products (National Pension Scheme) and retirement plans, respectively.

“The ability for people to get insurance covers – life and health – can protect the financial security of households from unforeseen expenses, especially during the pandemic,” said Abhijit Bose, Head of WhatsApp India, while speaking at Facebook’s Fuel for India 2020 event, as per a media report. Mr Bose sounded hopeful that the project will make micro-pensions and health insurance cover available to all Indians, regardless of geography or income. 

The sentiment was shared by PC Kandpal, CEO of SBI General, who believes the popularity of the instant messaging app will help improve the penetration of health insurance products in India, allow insurance providers to streamline distribution channels, and provide a greater degree of customization for sachet-size insurance products.

What other initiatives can we expect in the future?

In addition to scaling its digital payments through WhatsApp Pay, the messaging service will be collaborating with the government as well as local businesses to offer bespoke solutions in fields such as commerce, trade, education, agriculture, and social welfare through the WhatsApp Business platform. This will work in conjunction with the digital payments system that is now live via UPI with four banks – State Bank of India, HDFC Bank, ICICI Bank, and Axis Bank. 

However, the service at present is operational only via the peer-to-peer (P2P) mode, with access to a maximum of 20 million users. Upon review by the National Payments Corporation of India (NPCI) and the RBI, the digital payments service will be allowed to expand in the future. 5 New WhatsApp features that you need to know