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Prudential plc of the UK and HCL Group have announced a joint venture (JV) to offer health insurance in India.

Banking & Finance | Dated: 24 Mar 2025

In March 2025, Prudential plc, a global financial services group based in London, UK, announced the creation of a standalone health insurance company in India. This will be in partnership with Vama Sundari Investments Private Limited (Vama Delhi), a firm based in New Delhi and owned by the promoter of HCL Group.

🎯 Key Highlights:

  • - With regulatory approvals, Prudential Group Holdings, a subsidiary of Prudential plc, will hold a 70% stake in the joint venture (JV), while Vama Sundari Investments will own the remaining 30%.
  • - This joint venture supports India's goal of providing "Insurance for All by 2047."
  • - The health insurance JV will be led by Amar Joshi, who is the CEO of Prudential India.

💡 Other Important Facts:

  • (i) The health insurance industry saw a 10.44% Year-on-Year (YoY) increase in gross direct premium income, reaching Rs 1 lakh crore in the first 10 months of Financial Year 2025 (FY25). Standalone health insurers made up about one-third of this total. Currently, India has seven standalone health insurance companies.
  • (ii) Prudential plc already operates in India through its joint venture with ICICI Bank, known as ICICI Prudential Life Insurance Company Limited. This company is the third-largest private life insurer in India by premium, after SBI Life Insurance and HDFC Life Insurance.
  • (iii) As of February 2025, the Foreign Direct Investment (FDI) limit for the Indian insurance sector has increased from 74% to 100%.

📚 Test Your Knowledge:

Which company recently partnered with Prudential plc of the UK to offer health insurance in India?

Correct Answer: HCL Group

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