Fairfax planning to invest Rs 200 crore more in digit insurance
![](https://m.economictimes.com/thumb/height-450,width-600,imgsize-64564,msid-69138661/insurance-getty.jpg)
Synopsis
Digit has expanded its distribution through direct channel partners
“We are growing our businesses and incurring losses as these are initial years,” said Kamesh Goyal, chairman at Digit Insurance that started its operations in October 2017 and hopes to break even by 2021. Goyal holds 15 per cent in the company he founded while Fairfax entities own close to 45 per cent and the remaining is held by a venture fund.
Digit’s solvency margin is at 3.58 per cent, and is expected to fall to 1.88 per cent by the end of this calendar because of expense cost and loss ratios.
Digit has expanded its distribution through direct channel partners, including ecommerce companies like Policybazaar, Flipkart and Cleartrip. It has a network of 1,500 strategic partners including agents, brokers and dealers spread across 70 cities and towns.
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Fairfax has invested in other financial services companies in the country, including India Infoline Finance Holdings and Catholic Syrian Bank.