Bima Sugam, IRDAI's digital insurance marketplace, has entered a trial run starting with motor insurers, with live policy transactions expected to begin from September. The platform, often described as the 'UPI of Insurance', allows consumers to discover, compare, and purchase policies from all registered insurers in one place.
The motor-first rollout is designed to validate the transaction flow before expanding to other lines. Industry sources say the platform charges insurers a settlement fee in the range of 5-7% of premium, well below the roughly 30% commission typically paid to agents, a differential that could intensify pressure on traditional distribution channels.
The launch follows Bima Sugam's earlier live beta with zero-commission pricing and is a key pillar of IRDAI's plan to make insurance more accessible ahead of the 'Insurance for All by 2047' goal.
Sources: Media reports, IRDAI announcements (August 13, 2026)