Mar 20, 2020 | AS Team
Recently Paytm has engaged Premanshu Singh, former CEO of the insurance broking firm, Coverfox, for senior vice president and also as the chief of its insurance enterprise. This turn of events emerged months post-Paytm’s discussions over obtaining the online insurance broking firm were revealed. The buzz of the possible deal was first reported by the Economic Times.
SoftBank Vision Fund, a subsidiary of SoftBank and a significant investor in Paytm's parent One97 Communications, that also remains a massive shareholder for the nation’s popular online insurance marketplace PolicyBazaar, is probable to have raised an objection over the deal.
Premanshu who’s devoted 3 years acting as CEO of Coverfox, will forthwith report to ex Goldman Sachs executive Amit Nayyar who was recently selected as CEO for Paytm’s Financial Services unit as of August 2019.
Previously in the month, Paytm had announced the firm’s decision of making a descent into the business of selling insurance merchandise with subsidiary Paytm Insurance Broking, that ensured a brokerage licence from the IRDAI i.e the Insurance Regulatory and Authority of India.
The e-commerce and payment platform is also aiming to propose insurance merchandise across 4 categories which include auto, health and life.
Within the insurance sector, Paytm will be clashing with Coverfox, PolicyBazaar, Turtlemint as well as ET Money.
The Mumbai based startup Coverfox was founded by Varun Dua and Rane back in 2013. However, Devendra Rane, the cofounder and chief technology officer of Coverfox had exited the company the firm last month while Dua exited the firm in 2016 to start Acko General Insurance.
Coverfox’s investors include SAIF Partners, Accel Partners, NR Narayana Murthy’s Catamaran Ventures as well as International Finance Corporation.