CoverSure launches prepaid insurance gift cards targeting Gen Z and first-time buyers

CoverSure has introduced app-based prepaid insurance gift cards, loadable from ₹100 to ₹10,000, for buying or renewing health, life and motor policies. The launch, timed ahead of Raksha Bandhan, is aimed at widening insurance access through gifting and corporate distribution.

— Source publishedThu, 10 Sept, 2026, 19:34 IST·First seen Thu, 10 Sept, 2026, 19:41 IST·Source The Hindu BusinessLine

What happened

Insurance aggregator CoverSure launched prepaid insurance gift cards on its app, targeting Gen Z and first-time buyers. The cards can fund new or renewed

Key facts

  • ₹100 to ₹10,000 prepaid card load range
  • 23 insurance partners
  • 80 lakh people hold term insurance in India
  • 5 to 6 crore people covered under health insurance
  • 50% to 60% of insurance policies lapse within five years

Why this matters

Insurers, fintechs, retailers and corporate-gifting platforms could view CoverSure as a partnership target for embedding prepaid policy access into loyalty, employee-benefit and festive-gifting ecosystems.

What to watch

  • Post-festival card sales, redemption rates and the share of recipients who purchase a first policy versus renew an existing one.
  • Average card denomination and the proportion of policies requiring additional customer payment.
  • Announcements of insurer, broker, wallet, retail, corporate-benefits or e-commerce distribution partnerships.
  • Regulatory guidance on prepaid instruments, insurance solicitation, KYC, gift-card expiry, refunds and unredeemed balances.
  • Competitor launches from insurers, insurtechs, digital wallets or employee-rewards platforms.
  • Evidence that cards are being used as employee rewards, customer loyalty incentives or gig-worker benefits rather than personal gifts.
  • Partner with quick-commerce, gifting, fintech-wallet and Raksha Bandhan marketplace channels to sell digital cards at checkout.
  • Create issuer and insurer integrations that let gift balances be applied directly after KYC and underwriting, with clear top-up flows.
  • Pursue bulk-distribution deals with employers, gig platforms, banks, NBFCs and loyalty-program operators.
  • Bundle cards with youth-relevant products such as personal accident, health top-ups, two-wheeler cover and bite-sized term-life protection.
  • Use redemption data to retarget recipients with renewal reminders, family-policy offers and higher-value coverage recommendations.