Prem Watsa-owned, Fairfax Group-backed Go Digit has received the Insurance Regulatory and Development Authority of India (IRDAI)’s approval to commence life insurance operations.

“IRDAI in its 122nd meeting held on June 2, 2023, has granted Certificate of Registration to a new life insurer namely, Go Digit Life Insurance Limited to carry life insurance business in India,” it said in a release.

In August-September 2022, HDFC Bank and Axis Bank had said they will both acquire up to 9.94 per cent stake each in Go Digit Life Insurance through investment of ₹50-70 crore, possibly in tranches, subject to executive of certain terms and agreements.

Digit Insurance already has general insurance operations through Go Digit General Insurance, which refiled its preliminary IPO papers with SEBI in April 2023 after making certain changes to its employee stock appreciation right scheme. It offers motor, health, travel, property, marine and liability, among other products.

This is the fourth registration granted by IRDAI over the last year, including both life and non-life segments. With this, the number of life insurance companies in India has increased to 26, the regulator said.

IRDAI Chairman Debasish Panda has been stressing on the need for more players in the market to grow the insurance sector and increase penetration. The regulator granted licences to Kshema General Insurance, Credit Access Life Insurance and Acko Life Insurance in FY23.

In April, Panda said that IRDAI is considering 20 other applications for new insurance companies, adding that the regulator has been nudging applicants to speed up the paperwork.

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