Just two years ago, Berkshire Hathaway launched its online insurance distribution business in India. But it is now going to stop selling the products that it has been offering the country of until this point.
“We have received in intimation that [Berkshire] has decided to discontinue their online model of selling insurance,” said a Bajaj Allianz General Insurance Co. spokesperson. Berkshire Hathaway was acting as an exclusive corporate agent for the company.
The head of Berkshire Hathaway’s India online insurance business, Arun Balakrishnan, did not choose to comment on the news this Wednesday.
In March 2011, Berkshire Hathaway first launched their India insurance venture on the website Berkshireinsurance.com. This made a big splash in the country at the time, and it Warren Buffett made his first visit to India as well. Berkshire Hathaway was not the insurance underwriter, but they did mostly sell the travel and vehicle insurance policies of Bajaj Allianz on their website.
The chief executive of Berkshireinsurance.com, Arun Balakrishnan, spoke to the Wall Street Journal this past December. During his conversation he mentioned that he was hoping to make Berkshire Hathaway one of the top three insurance providers in India over the next 3 to 5 years, all by selling their insurance online.