Flipkart-Bajaj Allianz mobile insurance: Buying new phone? Don't worry about theft, screen scratches; here's why

Flipkart Big Billion Days Sale: Buying a new phone and worried about theft, or even getting scratches on the screen? Flipkart will now solve your woes for just Rs 99!  Ahead of the festive sale, Flipkart has teamed up with Bajaj Allianz General Insurance to offer customised insurance solutions to power its mobile phone protection programme. The insurance plan will be avaliable for all leading mobile phone brands are sold on Flipkart, the e-commerce giant said in a statement Sunday. Flipkart also said that it is foraying into the insurance segment after securing a corporate agent license. 

Under the new programme, Flipkart will offer both cash payout option or free pick up, service and drop convenience to customers. The insurance offering by Flipkart will be available from the start of Flipkart's The Big Billion Days (TBBD) on October 10. 

"In line with our customer-first policy and as the market leader in this segment, insurance felt like the logical next step in providing consumers with excellent after-sales care for their phones. The plan, from purchase to claim, will be completely integrated into our online platform..." Flipkart Senior vice-president and head of Fintech Ravi Garikipati said in a statement.

"We will offer customised insurance solutions to power our complete mobile protection programme for all leading mobile brands sold on our platform with Bajaj Allianz," said Flipkart said. 

Tapan Singhel, MD and CEO of Bajaj Allianz General Insurance Co, said the two companies are starting with the complete mobile protection plan (CMP), adding value for millions of customers.

ALSO READ | Amazon Great Indian Festival vs Flipkart Big Billion Day Sale: How to make the most of cool deals

As per estimates, about 36 per cent of mobile phone users in India own smartphones. The customers are, however, always worried about damage to their smartphone screens or it getting stolen. The insurance programme aims to address these two challenges. As per the official Flipkart statement, the insurance offer will be valid for a year. It will cover accidental, screen, and liquid damage along with theft of the protected mobile phones. 

Cost of insurance plan

According to Flipkart, a customer will be able to purchase the insurance-powered CMP plan at the same time as they buy the mobile phone for Rs 99 onwards. Once the customer shares the required details at checkout, the policy will be activated from the day of delivery.

How to make a claim

For claims, the customer can reach out to Flipkart via the app, email, or phone call and will have a choice between returning the phone for fixing or opting for a cash payout, which will then be deposited in their Flipkart-registered bank account or any other account owned by the customer, according to the statement.

"Customers will be able to purchase the insurance when buying the mobile phone at a nominal price starting from Rs 99. The policy will activate from the day of delivery," said the statement.

The cash payout that will be deposited in the customer's bank account.

The 11-year-old Flipkart group includes Myntra, Jabon and PhonePe. It offers 80 million products in 80 categories. In the last fiscal 2017-18, Flipkart recorded Gross Merchandise Value (GMV) of $7.5 billion and net sales of $4.6 billion, representing 50 per cent year-on-year growth. The company has over one-lakh sellers. It offers about 80 million products across 80 categories, including smartphones, books, media, consumer electronics, furniture, fashion and lifestyle.