BlackBuck Gets IRDAI Nod To Act As Insurance Corporate Agent

SUMMARY

This licence, valid until July 2028, will allow the company to sell insurance policies from registered insurers to its users, mainly truckers across the country

Bringing insurance directly into its platform will open a new source of income for the company through commissions

This move fits into BlackBuck’s broader goal of building a single platform that takes care of all key needs for truckers

Logistics major BlackBuck has received the approval from the Insurance Regulatory and Development Authority of India (IRDAI) to act as a composite corporate agent.

This licence, valid until July 2028, will allow the company to sell insurance policies from registered insurers to its users, mainly truckers, across the country. The licence will allow the company to provide life, general and health insurance.

The step is part of BlackBuck’s plan to become a full-service digital platform for truckers. Over the past few years, the company has introduced several services aimed at building a full stack platform for truckers, including FASTag management for toll payments, fuel cards, working capital loans for small fleet owners, and digital freight matching to connect drivers with payloads.

The addition of insurance services will address another gap in the daily operations of truckers. Bringing insurance directly into its platform also opens a new source of income for the company through commissions.

This comes close on the heels of BlackBuck securing a prepaid payment instruments (PPI) licence from the RBI. While the company has not shed light on its exact plans with the PPI licence, it is likely to be used to simplify FASTag and fuel payments for truckers.

The PPI licence will allow the company to operate a payment system, enabling users to store value money and use it for various financial services and purchases, streamline digital payments on its platform and enable truckers to manage their finances.

Founded in 2015 by IIT Kharagpur alumni Rajesh Yabaji and Chanakya Hridaya, along with Rama Subramaniam, BlackBuck specialises in inter-city full truckload (FTL) transportation. It connects truck operators with small and big businesses for shipping requirements in real time. It also offers telematics solutions and vehicle financing.

On the financial front, BlackBuck reported a consolidated net profit of INR 280.1 Cr in Q4 FY25 as against a net loss of INR 90.8 Cr in the year-ago quarter. Operating revenue zoomed 30.6% to INR 121.8 Cr during the quarter under review from INR 93.2 Cr in Q4 FY24.