Go Digit Founder-Backed Valueattics Gets Reinsurer Licence

The Insurance Regulatory and Development Authority of India (IRDAI) has granted regulatory approval to Go Digit founder and chairman Kamlesh Goyal-backed Valueattics Reinsurance Ltd. to operate as a reinsurer. For the uninitiated, a reinsurer offers insurance to other insurance companies. Effectively, a reinsurer helps insurance firms manage and transfer risk, particularly large losses. With this, Valueattics Reinsurance will become the first private sector reinsurer to receive certificate of registration (CoR) from the regulator. As of now, state-owned General Insurance Corporation of India (GIC Re) is the only domestic reinsurer in the country. The approval came during the regulator’s 129th board meeting yesterday, which was Debasish Panda’s last meeting as IRDAI chairperson. In its order, the insurance regulator noted the approval marks a “significant step” in fostering competition in the Indian reinsurance space. . “Approval was accorded to grant Certificate of Registration to M/s Valueattics Reinsurance Ltd. It is the first reinsurer to be granted registration to carry out exclusively reinsurance business in the revamped regulatory landscape. It marks a significant step in fostering competition in the reinsurance sector,” IRDAI noted in its minutes of meeting. With this, the company now inches closer to commencing reinsurance operations. It is pertinent to note that Valueattics can kick off operations once it meets the requirement of bringing in the necessary initial capital. Meanwhile, as per news agency PTI, the reinsurance company said that it will launch operations with an initial paid-up capital of INR 210 Cr. With this development, Goyal and Canadian billionaire Prem Watsa’s Fairfax Financial Holdings (investor in both Valueattics and Go Digit) will become the first promoters in the country to hold licences for general insurance, life insurance and reinsurance businesses. “There was a longstanding need to have private reinsurance players in India, and becoming India’s first private reinsurer marks a significant milestone for us. With this, the Digit group of companies (general insurance, life insurance, and reinsurance) will strive to become a one-stop solution for all insurance needs, allowing us to provide full-spectrum risk coverage,” Goyal, who is chairman at Go Digit and director at Valueattics Reinsurance, reportedly said. It is pertinent to note that Valueattics Reinsurance is backed by Goyal-led Oben Ventures LLP and Fairfax-backed FAL Corporation. That said, Valueattics’ entry is expected to disrupt the homegrown reinsurance space, which has long been dominated by the state-backed GIC Re and foreign reinsurance branches. The move is expected to pave the way for better pricing, wider risk coverage, and increased capacity for primary insurers. Founded in 2017 by Goyal, Go Digit General Insurance is a full-stack digital insurance company, which offers a wide range of non-life insurance policies across sectors such as motor vehicle, health, travel, and property among others. On the financial front, Go Digit General Insurance’s profit after tax (PAT) soared 176.46% to INR 118.52 Cr in the third quarter (Q3) of the fiscal year 2024-25 (FY25) from INR 42.87 Cr in the year-ago period. Meanwhile, gross written premium (GWP) also rose 10.24% to INR 2,676.78 Cr in the quarter ended December 2024 from INR 2,427.97 Cr in Q3 FY24.

Go Digit Founder-Backed Valueattics Gets Reinsurer Licence

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