SECP Grants First-Ever Digital-Only License to Digi Insurance

Karachi: In a historic step towards the digital transformation of Pakistan’s financial sector, the Securities and Exchange Commission of Pakistan (SECP) has granted the country’s first-ever digital-only insurance license to Digi Insurance Limited, a non-life insurer based in Karachi.

According to Radio Pakistan, this groundbreaking development allows Digi Insurance to operate entirely online, without the need for a physical branch network. The company will provide a full range of general insurance services, including medical and auto coverage, through a completely digital interface, from customer onboarding to policy issuance and claims processing.

Highlighting the significance of this initiative, SECP stated on social media platform X, ‘This initiative aligns with SECP’s vision of fostering innovation, competition, and digital transformation in Pakistan’s financial sector. By supporting insurtech like Digi Insurance, SECP is paving the way for a more inclusive and resilient economy.’

The digital-only model is expected to enhance accessibility and efficiency in the insurance sector, offering consumers faster services and simplified procedures. It also promises lower operational costs for businesses and opens doors for new entrants in the industry, especially from underrepresented and resource-limited backgrounds.

This strategic move by SECP is being seen as a key milestone in modernizing Pakistan’s regulatory framework, promoting financial inclusion, and encouraging the use of emerging technologies in financial services.