Mahindra & Mahindra (M&M) and Canada-based Manulife have announced a 50:50 joint venture to enter India’s fast-growing life insurance market, with a total capital commitment of up to ₹7,200 crore.
Each partner will invest up to ₹3,600 crore, starting with ₹1,250 crore in the first five years. The proposed venture, which awaits regulatory approval, aims to reach customers across both rural and urban India with long-term protection and savings products.
“Manulife is the best natural partner for us, given their global strengths in insurance products, underwriting, and reinsurance,” said Anish Shah, MD and CEO, Mahindra Group. “The JV will leverage technology to build an efficient, customer-focused insurer in India.”
India’s life insurance sector has crossed $20 billion in new business premiums, expanding at a 12 percent CAGR over the past five years. Yet, penetration remains low and the protection gap wide — leaving vast room for growth. Analysts expect India to become the world’s fastest-growing life insurance market over the next decade, potentially rising to the fourth-largest globally.
The sector is dominated by Life Insurance Corporation of India (LIC), which still commands over 60 percent of the market, but private players such as HDFC Life, SBI Life, and ICICI Prudential have steadily increased their share. Liberalised FDI rules — which now allow foreign insurers to hold up to 74 percent in Indian ventures — have also encouraged global majors to scale up their presence. Recent moves by companies such as Allianz, Prudential, and Nippon Life reflect the growing appetite for India’s under-insured population and expanding middle class.
For Manulife, this marks a major step in its Asia expansion strategy and builds on its existing partnership with Mahindra in asset management.
“This marks an important milestone as we enter one of the world’s fastest-growing insurance markets,” said Phil Witherington, President and CEO, Manulife. “We see tremendous opportunity to combine Mahindra’s strong distribution network with our global insurance expertise.”
If approved, the Mahindra–Manulife Life Insurance venture will combine Mahindra’s deep local reach with Manulife’s global experience, further diversifying both groups’ presence in India’s financial services space.
