IFFCO-TOKIO Partners with Cooperatives to Expand Micro Insurance Access for Underserved Communities

Marking its 25th anniversary, IFFCO-TOKIO General Insurance Company (GIC) announced a new initiative aimed at enhancing insurance accessibility in India’s under-covered communities. Inspired by the Insurance Regulatory and Development Authority of India (IRDAI)’s vision of ‘Insurance for All by 2047’, the company has partnered with multiple cooperative societies to distribute micro insurance packages.

A Joint Venture with a Social Mission

Established in 2000, IFFCO-TOKIO GIC is a 51:49 joint venture between the Indian Farmers Fertilizer Cooperative (IFFCO) and Japan’s Tokio Marine Group. Since inception, it has been driven by the principle of affordable insurance, a mission that now expands to align with India’s socioeconomic growth and the evolving aspirations of its people.

Subrata Mondal, Managing Director and CEO, stated, “While at the beginning we were guided by the principle of affordable insurance, the vision has now expanded to align with people’s aspirations and a robust economy, while remaining committed to IRDAI’s vision for 2047.”

Micro Insurance: Expanding Protection at the Grassroots

Micro insurance refers to low-cost insurance products tailored for low-income individuals or small-scale businesses, typically covering health, accident, life, motor, or property risks. These policies have lower premiums and simplified claim procedures, making them accessible and practical for rural and informal sector workers.

IFFCO-TOKIO’s new initiative involves working through cooperative societies, which already have deep community networks. This distribution model allows for better awareness, trust, and reach in semi-urban and rural regions.

The company’s micro insurance packages will include,

• Health insurance for primary medical needs
• Motor insurance for two-wheelers and rural transport vehicles
• Personal accident cover
• Package policies combining multiple coverages at minimal cost

IRDAI’s Push: Insurance for All by 2047

The IRDAI’s ‘Insurance for All by 2047’ goal envisions every Indian having access to at least basic life, health, and property insurance by the time the country marks 100 years of independence.

IFFCO-TOKIO’s alignment with this mission signifies how private players can contribute to financial inclusion and social security—by bridging the urban-rural divide in insurance penetration.

The micro insurance market is a crucial piece of this puzzle. According to IRDAI data, despite rising awareness, India’s insurance penetration remains around 4% of GDP, far below global averages. Greater push in rural and semi-urban markets is essential to boost resilience against financial shocks like illness, accidents, or crop failures.

Key Takeaways

• IFFCO-TOKIO GIC, a 51:49 joint venture between IFFCO and Tokio Marine Group, launched in 2000.
• Celebrated its 25th anniversary in 2025, also called silver jubilee year.
• Tied up with cooperatives to distribute micro insurance to under-served groups.
• Supports IRDAI’s ‘Insurance for All by 2047’ vision.
• Products include health, motor, personal accident, and package policies.
• Focus on affordability, simplified claims, and cooperative-led distribution in rural India.