Insurance cover is what everyone aspires to. So that their loved ones are provided for after their death. But the insurance policies they are sold by the agent often leaves them smarting. Most of them are lemon, thanks to the opacity of an industry where a big chunk of the saver’s funds goes into fattening the agent’s wallet. But that was the origin of Yashish Dahiya’s entrepreneurial spirit to set the industry in order with his policy bazaar, India’s largest online financial services platform.
PolicyBazar was started in 2008 at gurugram as a key force in establishing an informative online life insurance and general insurance aggregator. It helps consumers analyse, choose and buy financial products based on price, quality and other key features.
Over the next 8 years the company has marked a staggering growth in terms of revenue and customer acquisition to become the largest online aggregator in India. Policybazaar boasts of over 30 million unique visitors each year who compare the best suited financial products for them and the sale of over 15,000 policies on a month.
Company's punch line, “Insurance Compare Kiya” ? says it all. The unique comparative system boosts credibility by empowering customers with comparative and accurate information.
PolicyBazaar - Founder
Yashish is an alumnus from holds a Bachelor’s Degree in Engineering from IIT Delhi(1994), a Post Graduate Diploma in Management from IIM Ahmedabad(1996), and an MBA from INSEAD(2001). Just after that he joined Bain&Co as a consultant. Later he became the managing director UK at ebookers.com. In 2005, he founded First Europa, a Global Online Insurance Broker where he was responsible for leading the global expansion and managing the business of the company across 9 geographical locations. He is also a national-level swimmer and tri-athlete himself. He is an investor and founder of paisabazaar.com, which provides the market for fixed deposits and loans at your fingertips
Other founders of the company include Avaneesh Nirjar,Naveen Kureja and Ashish Gupta.
PolicyBazaar - The idea
The idea for Policybazaar has its seed in an incident Yashish noticed.
I was going through some of the financials with my father and few things looked dubious. On deeper inspection, my father had been cheated of a few lakh rupees by insurance agents. The transactions looked clean on the face of it but the reality emerged when I looked in closely. This got me thinking about how people are getting duped,” says Yashish and hence came into being Policybazaar.
PolicyBazaar - Business Model
Policybazaar.com is an aggregator website, which helps customers research and compare the features of different insurance policies within a category, hence enabling them to make an informed choice. The company has tied up with insurance brokers which help them procure information such as price, benefit, insurance cover etc directly from the insurers for the customer to compare. Basis the information provided, the customer then chooses the best option. It doesn't charge customers anything for this service.
PolicyBazaar - Revenue model
Major revenue comes from lead generation for the insurers, advertising and policy sales. Till 2011, 85% of our revenue came from lead generation and advertising and the rest 15% came from policy sales. Now, 85% comes from e-commerce or policy sales.
PolicyBazaar - Funding
Poliybazaar has raised a total funding of More than $346 Million in 7 rounds from 12 investors. The recent funding round was done on May 1, 2018 of $200 Mn by Temasek Holdings, SoftBank and Infoedge.
PolicyBazaar - Finance
Policybazaar has a revenue of ₹159.4 crore in FY18, more than tripling the number from ₹49.1 crore in FY17. The numbers glow against the backdrop of a significant shrinking of losses, standing at ₹9.4 crore in FY18, down by 78% from ₹43.9 crore in FY17.
PolicyBazaar - Marketing campaigns
Till about a year and half ago, 95% of the marketing spends were on the online/digital platform. However, currently it spends about 50% of marketing budget online and the other 50% has been moved to our branding/offline marketing. It expects to spend more and more on our offline campaigns because when it comes to online presence in insurance, they are already one of the top performers. Even with reduced expenses on online, there isn't a dip in the customers visits, which implies brand is growing since more and more direct customers are coming to the platform.
Policybazaar contant Number : 1800-208-8787