Max Life Insurance is on the lookout for a new business venture with insurance companies and the deal will be backed by the banking division. This comes in after the last deal with HDFC Life Insurance did not take off, owing to regulatory related issues.
Rajesh Sud, the Executive Vice Chairman and MD of Max Life said that company is exploring various options in both the public as well as private sector. He also mentioned that it is difficult to put a timeline on such events.
Back in July, the high octane merger of Max Life and HDFC Life was on the cards, which was rejected by the regulator IRDAI due to its complex structure. This was primarily due to the merger discussions between a non-insurance and an insurance unit.
According to the merger plans, Max India had to syndicate Max Financial Services and Max Life Insurance. Following that the insurance unit has to be demerged, which could then be collaborated with HDFC Life Insurance.
The deal would not see the light of the day, as per the norms of IRDAI, which lead to the termination of the plan.