Paytm Unveils Health And Protection Plan For Merchant Partners

One 97 Communications, which owns fintech major Paytm, has rolled out a new health and protection plan for its merchant partners to facilitate them with affordable and comprehensive healthcare benefits.

Under ‘Paytm Health Saathi’, merchants can access healthcare and income protection starting at INR 35, the company said in an exchange filing. 

The pilot of this plan, available on the ‘Paytm for Business’ app, was started in May, and over 3,000 merchant partners have already availed it. Following this, the company rolled out this feature to all its merchants earlier this month.

Additionally, it offers unlimited doctor teleconsultations and in-person visits within the partner network. Notably, the teleconsultation service, powered by MediBuddy, includes discounts at pharmacies and on diagnostic tests.

The plan also provides income protection in case of accidents, natural calamities like floods fires, or strikes.

According to the exchange filing, the claims process is streamlined within the app, allowing merchant partners to focus on their business without worry.

“The launch of Paytm Health Saathi underscores our steadfast commitment to ensuring the welfare of our merchant partners. This initiative is part of our mission to equip them with comprehensive and affordable coverage that supports their continued operations. By offering tailored solutions, aligned to their needs, we aim to strengthen the robust support system we provide to our community of business owners,” a Paytm spokesperson said in the filing.

This development comes at a time when Paytm is exploring various means for navigating regulatory challenges. The problems began when the Reserve Bank of India ordered Paytm Payments Bank to cease operations starting March 2024.

Recently, One 97 Communications was also reported to be cutting its workforce by 15-20% this fiscal year to manage employee costs. Following this, several employees of the fintech major have reportedly knocked on the doors of the Ministry of Labour and Employment, alleging “unlawful termination” without compensation.

Even on the business diversification front, the company is undergoing several changes. For instance, Paytm was reported to be in talks with Zomato to sell its movies and event ticketing business to the latter.

Last month, Goldman Sachs and Marshall Wace together offloaded Paytm shares worth INR 208.35 Cr via bulk and block deals on Tuesday. 

In June, it approached the IRDAI for the withdrawal of a general insurance license for its affiliate Paytm General Insurance Ltd. 

Paytm’s net loss has widened over 3X on a year-on-year basis to INR 550.5 Cr in the March quarter (Q4) of the financial year 2023-24 (FY24) from INR 167.5 Cr reported in the year-ago period. 

Its revenue from operations dipped 2.9% YoY to INR 2,267.10 Cr, against INR 2,334 Cr in the same period last year.