While JFS has been slowly expanding its fintech universe to launch services for direct customers, the reinsurance JV is aimed at insurance companies

JFS and Allianz said they have also entered into a non-binding agreement to set up JVs for general and life insurance business in the country

The development comes months after the Allianz Group ended its 24 years insurance partnership with the Bajaj Group

Fintech company Jio Financial Services (JFS) has inked a binding agreement with insurance giant Allianz Group to form a 50:50 joint venture (JV) for providing reinsurance service in India.

The JV agreement has been signed between JFS and Allianz Group’s wholly owned subsidiary Allianz Europe B.V.

In simple terms, reinsurance is like insurance for insurance companies. Reinsurance allows insurance companies to transfer some of their risks to the reinsurer.

While JFS has been slowly expanding its fintech universe to launch services for direct customers, the reinsurance JV is aimed at insurance companies.

“The reinsurance JV between JFS and Allianz will help insurers manage risks more effectively by providing access to strong underwriting capabilities and competitive capacity – ultimately strengthening the resilience of the entire insurance ecosystem. The JV will launch operations post receipt of statutory and regulatory approvals,” the statement said.

Besides, JFS and Allianz said they have also entered into a non-binding agreement to set up JVs for general and life insurance business in the country.

It is pertinent to mention that JFS currently distributes life, general and health insurance plans of its partners via Jio Insurance Broking Ltd.

The development comes months after the Allianz Group ended its 24 years insurance partnership with the Bajaj Group.

Shares of Jio Financial Services ended the day marginally low by 0.44% at INR 316.70 apiece on the BSE on Friday (July 18).

JFS primarily offers banking services, and in addition to that, it also provides lending, payments solutions, and insurance services via its multiple entities such as Jio Finance, Jio Insurance Broking, Jio Payment Solutions, Jio Finance Platform and Service.

The company has partnered with BlackRock to enter the mutual funds space under Jio BlackRock Asset Management. Besides, the company has also collaborated with BlackRock to foray into the wealth management and brokerage sector.

During the June quarter, JFS and BlackRock invested INR 66.5 Cr each in the JV.

Meanwhile, the fintech player also bought Jio Payments Bank Ltd (JPBL) and invested INR 190 Cr in the businessin June.

On the financial front, JFS reported a consolidated net profit of INR 324.7 Cr in Q1 FY26, up 4% from INR 312.6 Cr in the same quarter of previous year. The company’s revenue jumped 48% to INR 612.5 Cr during the quarter from INR 417.8 Cr in Q1 FY25.