Popular digital wallet company Paytm is now in talks with insurance companies around the country to provide insurance cover to Paytm users. So if the deal is finalized, users won't need to worry about the possibility of misuse and fraudulent transactions from their Paytm wallet. This being a major concern with several users and even the main reason for few not to make the transition towards going cashless.
Considering this, Krishna Hegde, Vice President, Paytm tweeted, "This insurance cover on Wallet balance will ensure that the user is covered should there be any misuse of the account. Along with being the fastest and most convenient way of paying, this cover will provide additional comfort and security to our millions of users."
The company though having been around for over six years saw its biggest phase of success in the last five to six months. This boost to the company's success was fueled by cash crunch which was the result of the demonetization move carried out by the government. While the move received both applause and criticism alike, digital wallet service providers and player in the cashless economy saw an upsurge in its subscriptions.
While the large-scale acceptance and transition was widely accepted and gave the economy a major boost, it did bring with it some concerns and issues. Issues revolving around the safety and possibility of misuse and fraudulent transactions.
However, amid this rising number of concerns, the move from Paytm with regard to providing insurance to users wallets will surely be well received, ensuring them a growing and flourishing customer base. That being said it will be interesting to see how things pan out as Paytm is also in also focusing on expanding into banking.
That being said, the company will provide the insurance cover for free to start with, details about the cover and charges have not yet been announced. We will keep you posted with the latest updates as and when we get them.