Ather Energy insurance arm secured an IRDAI licence to offer life, health and general policies, giving the EV maker a new revenue stream.

India’s insurance regulator IRDAI granted a certificate of registration on 15 October to Ather Insurance Limited, a wholly owned subsidiary of Ather Energy Limited.

The parent company told exchanges about it the same day. The licence is for a composite corporate agent, which is a company, not an individual, allowed to sell insurance.

In plain terms, Ather Insurance can now sell and service life, health and general policies from insurers and earn a commission on them.

The filing is silent on revenue targets, a launch date and which policies Ather will offer.

The registration stays valid as long as the annual fee is paid, unless IRDAI suspends or cancels it.

Ather set up the subsidiary on 27 May and said then that it needed IRDAI approval before it could start any business, so the licence meets that condition.

Ather has said the aim is to build recurring income from its existing customer base. Non-vehicle sales already play a part.

Software subscriptions, charging, accessories, spares and service helped lift total income 87.2% to Rs 1,260 crore in the June quarter, according to the company statement.

In the same quarter, revenue from operations rose 88.8% to Rs 1,216.92 crore.

The net loss narrowed to Rs 51 crore from Rs 178 crore a year earlier, and operating earnings, known as EBITDA, turned positive at Rs 9 crore against a loss of Rs 106 crore. Two more updates came in August.

Ather launched its Konarc electric scooter on 29 August at a starting price of Rs 99,999 ex-showroom.

Hero MotoCorp, an existing shareholder, also raised its stake in the company to about 32.8% through a Rs 1,758 crore share purchase.

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