Let's be real, running a business is tough. Between multiple product rollouts, user experience improvements and scaling business and operations the idea of adding a protection programme might feel like a bridge too far.

But here's the truth: it might be exactly what your business needs right now.Why It Really Matters
Imagine a customer is about to buy an expensive smartphone on your platform. Their finger is hovering over the 'Buy Now' button but doubt is creeping in. What if it breaks? What if something goes wrong? Without protection that doubt could cost you a sale. With a protection programme in place they'll click with confidence knowing you've got their back.

This isn't just about saving one sale. It's about building the kind of trust that keeps customers coming back. For your business a protection programme isn't just an add-on, it's a real investment in growth.

What's a Protection Programme, Really?

Take away the jargon and a protection programme is simply your way of telling customers, "We've got your back."

It might mean covering shipping damages for merchants, protecting shops against theft or offering travel cancellation coverage. The possibilities are endless, across both direct to consumer and business to business setups.
It works both ways. Your customers get peace of mind, often leading to higher conversions and loyalty. You get a more stable business with steady revenue streams.
But let's not beat around the bush. Building a protection programme in India comes with its challenges. The regulatory environment is complex, technology needs are big and operations need to be streamlined.In India there are several ways to build an insurance backed protection programme. Let's look at your options

Path 1: Running Your Own Protection Plan

You can implement a protection programme without insurance backing. This gives you complete control over the customer experience and programme design, but means you'll need to build everything yourself.However, this approach requires you to develop your own risk assessment models, claims processing systems, and customer service protocols. You'll be responsible for setting aside adequate reserves to cover claims and managing the entire customer journey.
The upside is flexibility - you can create protection plans that perfectly match your customers' needs. The downside is that you'll shoulder all the risk and operational burden without insurance company backing.

Best suited for: Businesses that want complete autonomy and have the resources to build robust systems from scratch.

Path 2: Partnering with Insurance Companies

Rather than building everything yourself, you can partner with established insurers to provide the protection backing while you focus on the customer experience. This approach leverages existing insurance infrastructure while allowing you to maintain your brand relationship with customers.For this, you'll need to establish partnerships with insurance companies willing to underwrite your protection plans. This typically involves negotiations around coverage terms, pricing, and revenue sharing. The insurer handles the regulatory compliance and risk management while you manage the customer relationship.
This path reduces your financial risk exposure and eliminates the need for regulatory approvals, but it does mean sharing revenue and potentially having less control over product design and claims decisions.

Best suited for: Businesses looking to launch protection programmes quickly with reduced risk exposure and capital requirements.

Path 3: Obtaining an Insurance License

For complete control with regulatory backing, you can pursue your own insurance license. This gives you the ability to create custom insurance products while operating within the established insurance framework.
The requirements are huge: ₹100 crore for life or general insurers, ₹200 crore for reinsurers. Getting a licence involves detailed business plans, financial disclosures and operational frameworks.The licensing process involves thorough regulatory review and can take several years. Once licensed, you'll have the authority to design, price, and underwrite your own insurance products, but you'll also be subject to ongoing regulatory oversight and capital requirements.

Best suited for: For businesses with deep pockets and a long term view, becoming a carrier gives you full ownership and control. But the time, cost and regulatory hurdles are massive.

Creating Your Products

Once you've chosen your path the real work begins. Your products need to solve real problems and be profitable. This means understanding your market deeply.
What keeps your customers up at night?
What risks are they facing?
What are their pain-points? Non-negotiables? etc.
If you're working with insurers, you'll collaborate with their actuaries and underwriters to define coverage terms, set competitive pricing and underwriting guidelines. Everything needs IRDAI approval which means proper documentation and review.
If you're running your own programme, you'll need to determine appropriate reserve levels, pricing structures, and eligibility criteria without insurance backing.
Remember a well designed product isn't just about ticking regulatory boxes, it's about creating value for your customers.

Building Technology Infrastructure

Modern protection programmes live and die by their technology. You'll need systems that can issue policies, manage claims and keep everything running smoothly. These systems need to work with your existing platforms and be compliant with regulations.
Building this infrastructure isn't just about initial development. Your systems need to evolve with changing regulations and customer needs. Whether you build custom solutions or adapt existing ones getting this foundation right is key to long term success.

Claims Management

This is where your promises meet reality. When customers face problems your claims process determines whether they become advocates or critics. You need clear procedures for how claims are filed, verified and resolved.
You can handle claims in house for total control or work with Third Party Administrators for easier operations. While both approaches have their merits, the key is to choose what works best for your business model and customer expectations.

So, is There a Better Way?

While we all understand that building a protection programme is a long and resource intensive journey. From designing products to developing the right technology, the process can take months or years.
For many companies, partnering with an insurtech would be a faster and more efficient path forward.
Insurtechs bridge the gap between traditional insurance and modern business needs. They simplify every step of the process from compliance to product design and claims management, helping businesses launch protection programmes without the steep learning curve.

Why this might make sense

Partnering with an insurtech means access to pre-built systems and industry expertise. Insurtechs can help design customised products for your specific market and reduce your time to market. With tested systems and streamlined claims handling, you can launch your programme in weeks rather than years.
These platforms are built for scale, so you can grow your protection business without substantial additional overhead. Your customers get a smooth, branded experience while the insurtech handles the complex backend operations.
While partnering means giving up some control, the efficiency and expertise insurtechs bring often make it a practical choice for businesses focused on their core offerings.

Making Your Choice

When deciding between building in house or partnering with an insurtech, consider:

Budget:
Can you afford the time and money to build everything yourself?

Expertise:
Do you have in house expertise to navigate compliance, pricing and technology?

Experience:
Are you happy to outsource some customer touchpoints or do you want total control?

Timeline:
How soon do you need to launch?

The Path Forward

Launching a protection programme is about more than just managing risk—it's about creating opportunity. The right programme can boost customer confidence, create new revenue streams and set you apart in the market.
Whether you build everything yourself or partner with someone, focus on what matters: helping your customers when they need it. Sometimes the smartest move is knowing when to partner. The right choice can help your business grow and succeed in today's competitive landscape.