THE COVERS ARE OFF: AFTER PARTING WAYS WITH ALLIANZ, BAJAJ FINSERV IS KEEN TO MAKE IT COUNT IN AN UNDER-PENETRATED LIFE AND GENERAL INSURANCE MARKET.

WHEN IT COMES to life insurance, most Indians remain underprepared. According to the newly released 'Underinsurance Survey 2025' by Bajaj Allianz Life, 81% of respondents believe their current life cover is adequate.

- V. KESHAVDEV

In reality, the average cover is just 3.1 times of annual income—far below the 10x benchmark financial planners suggest.

The irony? This latest snapshot of India’s chronic protection gap may be the last to carry the Bajaj Allianz name. After a 24-year partnership—among the longest-standing joint ventures in Indian insurance—Bajaj Finserv and Allianz SE are going their separate ways.

A NEW BEGINNING Sanjiv Bajaj-led Bajaj Finserv and Allianz SE are going their separate ways after a 24-year partnership.

Bajaj will acquire Al-lianz’s 26% stake in both joint ventures—it will pay ₹13,780 crore for Bajaj Allianz General Insurance (BAGIC) and ₹10,400 crore for Bajaj Allianz Life (BALIC)—gaining full control just as India begins dealing with its massive underinsurance challenge.

On paper, it’s a business transaction. In context, it’s a strategic inflection point. While the exact reasons for the split remain undisclosed, what's clear is that Bajaj believes it’s ready to go it alone—leading two insurance businesses that together clock over ₹40,000 crore in premiums. It’s stepping into this new chapter just as the Indian market opens to 100% foreign direct investment and competition intensifies across life, health, and general insurance.