Max Life Insurance is scouting for business opportunities with insurance companies backed by a banking division after its plan to merge with HDFC Life hit a dead-end due to regulatory hurdles. “We keep on exploring, it is an ongoing process. We will be looking for business opportunities both with private and public sector banks (who are into life insurance business),” Rajesh Sud, Executive Vice Chairman & MD, Max Life Insurance said on the sidelines of an event here today.
On the timing of such announcement, he said the company is exploring the options and it is difficult to put any deadline to that. Earlier in July, the high-profile merger deal of Max Life Insurance with HDFC Standard Life were put to back burner as sector regulator Irdai did not allow the complex structure of the plan, involving merging a non-insurance business with that of an insurance.
As per the plan, Max India was to amalgamate Max Life Insurance with Max Financial Services. Subsequently, the insurance business of the merged entity was to be demerged so that it could be transferred to HDFC Standard Life Insurance Company. However, the nature of the deal was in contravention to Insurance Regulatory and Development Authority of India (Irdai) norms, forcing the two companies to part ways.
Earlier today speaking at the SHRM India Annual Conference and Exposition 2017, the biggest event for HR fraternity of the sub-continent, Sud said it was imperative in today’s environment to keep innovating and changing with time. “To win in today’s rapidly changing environment where nothing is constant, character, empathy and action are the key for organisations to keep abreast of the changes and build a winning culture,” Sud said.