Bima Sugam: Digital insurance platform 'Bima Sugam' will be launched this year in 2025, this will be its specialty

Bima Sugam to Launch in 2025: A Unified Digital Insurance Marketplace Aiming for ‘Insurance for All by 2047’

Buying and claiming insurance in India is about to become easier than ever. The Bima Sugam India Federation (BSIF) announced on September 5, 2025, that its ambitious digital insurance marketplace, ‘Bima Sugam’, will go live later this year. The platform is being developed under the IRDAI’s 2024 framework, with the goal of fulfilling the vision of “Insurance for All by 2047.”

What is Bima Sugam?

Bima Sugam is envisioned as a paperless, digital-first insurance gateway. Through this platform, customers will be able to:

• Purchase insurance policies,

• Pay premiums,

• File claims, and

• Register grievances seamlessly.

Initially, the system will be rolled out in phases. A few insurers will join through pilot programs, and gradually more companies and customers will be onboarded. Services for policyholders will also be expanded step by step to ensure smooth adoption.

Structure and Investments

Bima Sugam is designed as a not-for-profit company under Section 8 of the Companies Act, 2013. The platform has an authorized capital of ₹500 crore and a paid-up capital of around ₹310 crore. Shareholding will be distributed among life insurance, general insurance, and health insurance companies, but importantly, no single company will hold a controlling stake. This ensures neutrality and equal representation across the insurance ecosystem.

Why is Bima Sugam Important?

According to Prasun Sikdar, MD & CEO of BSIF, Bima Sugam will fundamentally transform the way insurance is purchased, serviced, and trusted in India. He highlighted that the platform will bring:

• Greater transparency in policy offerings,

• Higher customer trust through regulatory oversight, and

• Improved convenience for every stage of the insurance lifecycle.

The initiative is also being described as a Digital Public Infrastructure (DPI) for the insurance sector, much like how UPI revolutionized digital payments in India. By making the process easier and more transparent, Bima Sugam is expected to deepen insurance penetration and bridge trust gaps between insurers and customers.

Benefits for Customers

• Single-window access: Customers can compare and purchase policies from multiple insurers on one platform.

• Hassle-free claims: Filing and tracking insurance claims digitally will reduce delays and paperwork.

• Transparency in pricing: With direct access to products, customers can avoid hidden charges and better understand their policy benefits.

• Increased confidence: A regulated and neutral platform will boost confidence among people who hesitate to buy insurance due to complexity and mistrust.

The Road Ahead

India has long struggled with low insurance penetration, particularly in rural and semi-urban areas. With its digital-first approach, Bima Sugam aims to bridge this gap by making insurance as easy and accessible as making a UPI payment. By 2047, the platform’s mission is to ensure every Indian has access to affordable insurance—a milestone that could redefine financial security for millions.

The launch of Bima Sugam in 2025 marks a turning point for the Indian insurance industry, offering customers not just policies but also convenience, transparency, and trust.