New Delhi: Telecom service provider Bharti AirtelNSE 0.79 % announced to offer Rs 2 lakh insurance cover to Airtel users with every recharge of Rs 179 prepaid bundle.

The access provider had in November last year partnered with the group’s insurance arm, Bharti AXA Life Insurance to roll out Rs 4 lakh cover for recharge of Rs 599 for users in Delhi-NCR. The recent announcement is Airtel’s most affordable prepaid bundle with built-in insurance cover for Airtel users across India.

The bundle offers unlimited calling to any network, 2 GB data, 300 SMS along with a with a validity of 28 days.

“Our innovative prepaid bundles with built-in term insurance plans have got positive response from customers and this has encouraged us to take the solution even deeper to the masses. The Rs. 179 recharge will offer one of the simplest and most accessible platforms to hundreds of millions of Indians to financially secure themselves and their families while staying connected on Airtel’s world-class network,” said Shashwat Sharma, Chief Marketing Officer, Bharti Airtel.

The pack is designed to serve entry level smartphone users and feature phone users in semi-urban and rural markets by providing them a channel to secure themselves and their families financially every time they recharge their Airtel mobile numbers, Airtel said in a press release.

As per the Insurance Regulatory and Development Authority of India, insurance penetration in India is abysmally low at less than 4% while there are close to one billion mobile users in the country. This offers mobile operators and financial services providers the opportunity to collaborate for serving the financial security needs of Indians and contribute to the Government’s vision of financial inclusion, Airtel said.

“We are pleased to partner with Bharti Airtel and offer protection cover to its customers. Our partnership ensures life insurance cover to every customer with each recharge and helps them leverage its benefits,” said Vikas Seth, Managing Director and CEO, Bharti AXA Life Insurance.

The insurance cover is available to all customer aged 18-54 years and requires no paperwork or medical test. The policy or Certificate of Insurance will be instantaneously delivered digitally and a physical copy of the insurance can be provided on request.

The entire process is digitally delivered in a matter of few minutes at any Airtel retail store or on Airtel Thanks app. Airtel has over one million retail outlets, and its mobile network covers over 786,000 non-census towns and villages across India.

Bharti AXA Life Insurance is a joint venture between Bharti group and financial services firm AXA with 51% and 49% stake respectively. As per its quarterly results till June 2019, the company had a total of Rs 405 crore worth of assets under management.