Max Bupa Health Insurance, a joint venture between Max India Limited and international healthcare company Bupa, is targeting to gain one million customers in five years. The company, which has lined up an investment of Rs 700 crore over a five-year period, hopes to break even during the same time.
Speaking to the media, its chief executive Damien Marmion said most of the investments would go for maintaining the solvency margins and for working capital to find new clients. It has so far invested about Rs 150 crore. The company will use multiple distribution channels including agents, tele-selling, and direct selling to sell its products.
Marmion said the company had tied up with over 380 hospitals including 36 in Hyderabad for its health insurance products.
Max Bupa, which launched its Andhra Pradesh operations on Wednesday, will increase its agent strength to 3,000 in a year from the present 1,000. “The health insurance market in India is pegged at Rs 8,2000 crore now and is expected to touch Rs 28,000 crore as the sector is growing around 35 per cent year on year,” Marmion said.
It has divided the market into three zones— Mumbai, Bangalore and the National Capital Region— for arriving at the pricing of the premium. Among the three zones, Mumbai has the highest cost of premium.
