Karur Vysya Bank and Kshema General Insurance announces game-changing bancassurance alliance
Chennai, Tamil Nadu, July 1, 2025: Karur Vysya Bank
(KVB) and Kshema General Insurance Ltd today announced a strategic
bancassurance alliance to offer a specially designed dual-benefit insurance
product—Kshema
Kisan Sathi—to India’s rural and agri-focused communities. The
collaboration brings together KVB’s stronghold in rural and semi-urban banking
and Kshema’s technology-driven insurance solutions to empower millions of
customers with a holistic financial protection offering.
This partnership
underscores KVB’s long-standing commitment to the development of India’s rural
economy. With a legacy of over 109 years, Karur Vysya Bank has continually
evolved to meet the growing needs of its customer base while remaining deeply
rooted in trust and service. This collaboration brings
a seminal change to India's bancassurance landscape through a strategic
partnership and a product tailored for the agricultural community. This joint initiative by two regulated
private entities is more than just a partnership. It is a mission to empower,
insure, and uplift the agri and rural economy leveraging Kshema’s tech stack and
KVB’s rural customer base for large-scale outreach. Kshema aims to act as the
shield of the rural economy—by providing not just insurance, but tools for proactive
resilience, preparedness, and sustainability.
Speaking on the alliance, Mr. Ramesh Babu, Managing Director & CEO,
Karur Vysya Bank said, “As a Bank deeply embedded in India’s rural landscape, we
understand the challenges our customers face in their day-to-day lives. With Kshema Kisan Sathi, we are
not just offering an insurance product; we are delivering peace of mind. This
partnership reflects our commitment to build meaningful financial ecosystems
that support sustainable livelihoods. It is aligned with our long-term vision
to create a resilient, secure, and self-reliant rural economy through inclusive
banking and value-added offerings.”
Commenting on the alliance, Mr. Natraj
Nukala, Chairman, Kshema General Insurance Limited said, “This pioneering bancassurance product offers dual protection of livelihood
and family by combining crop insurance and personal accident insurance for
valued customers of KVB. Kshema
Kisan Sathi was designed to achieve
the twin objectives of enabling financial security, stability, and
self-sufficiency for millions of rural families and agri-entrepreneurs while boosting
rural economy. This exclusive product is the keystone in Kshema’s plan of
building a data-driven rural ecosystem intelligence using financial and insurance
insights while deploying tech-forward innovations like satellite imaging to
build predictive, preventive, and proactive solutions.”
The
partnership also aligns with recent policy directions from the Government and
IRDAI to expand insurance access across Tier-2 and Tier-3 towns and complements
national efforts to achieve ‘Insurance for All’ by 2047. KVB’s leadership in
trusted financial intermediation combined with its customer-first approach
positions it uniquely to drive this agenda forward.
Kshema
General Insurance Ltd brings to the table deep capabilities in AI-powered risk
assessment, satellite imaging, and real-time data modelling to create proactive
and predictive insurance offerings. Kshema’s technology platform enables
precision underwriting and claims management, ensuring speed, transparency, and
personalisation for rural consumers.
This
alliance between KVB and Kshema is not just a commercial tie-up, but a shared
mission to strengthen the backbone of India’s economy—its farmers and rural
entrepreneurs—by offering them protection, stability, and the confidence to
grow.
About Kshema
Kshema General Insurance Limited’s mission is to protect farmers and build resilience among them from income shocks due to extreme climate events and other perils. Kshema deploys cutting- edge AI-based algorithms and location awareness to assess, model and price insurance risks adequately. Kshema uses its proprietary platform under the same name to serve farmers with customised solutions for their needs.
The Kshema platform is developed in partnership with leading global experts in
spatial data sciences, actuaries, financial engineers, and remote sensing
experts. The platform assesses and prices risk and allows to address
pre-harvest risk at the farm level through its products – Sukriti, Prakriti,
and Samriddhi. Kshema, a part of Kshema Holdings Private Limited, received its
licence from the regulator IRDAI in January 2023. Log into https://kshema.co/.
