The postal department of India is planning to spin off the operations of postal life insurance and rural postal life insurance into a separate business unit (SBU). On the sidelines of an event to mark the second-anniversary celebration of India Post Payments Bank (IPPB), Communications Minister Manoj Sinha told reporters that the department had already moved a Cabinet note regarding the same.
"For postal Life Insurance and rural postal life insurance we have moved a Cabinet note. In the first phase it will involve creation of an SBU and in second phase a full fledged insurance company," he said. He further said that he hopes for an approval from the Cabinet in the next fortnight or so.
At the occasion, Sinha said that IPPB has rolled out 1.26 lakh access points in the last five months and the number is expected to reach 1.36 lakh over the next week or 10 days. IPPB's pilot project was launched on 30 January 2017 at Raipur and Ranchi. The nationwide inauguration of the first phase took place on 1 September 2018.