Kotak subsidiary gets IRDAI nod to commence operations

MUMBAI: Kotak Mahindra General Insurance Co Ltd, a 100% subsidiary of Kotak Mahindra Bank Ltd has received the final approval from Insurance Regulatory and Development Authority of India (IRDAI)to commence its business, the bank said in a notice to the Bombay Stock Exchange ( BSE).

"With this the company has completed all registrations formalities required by the regulators. Kotak General Insurance has received permission to underwrite all classes of general insurance business," the bank said in a release.

The new company will be capitalised with Rs 135 crore from the bank, Kotak said adding that the new company will be the only bank promoted general insurance company without a foreign joint venture partner.

Mahesh Balasubramanian will be CEO of the new company. The company will commence operations by the end of the year, Balasubramanian was quoted as saying in the release.

Initially Kotak General insurance will sell motor, health, home and travel insurance and will expand into commercial insurance like fire, burglary and marine insurance later, the company said.