Housing Development Finance Corporation Ltd (HDFC) has agreed to buy its majority stake of 50.8% in Apollo Munich Health Insurance Co Ltd for about Rs1,350 crore.
Now post-merger, the strength of the insurance entity is now nearly to the market share of 6.4% of the non-life insurance industry, having 308 branches in the country. It is ranked, the 2nd second largest private insurer in the accident & health segment.

Compared to the global average, India's growth in the health insurance industry will get a push from its nascent development. Through passing a baton of Apollo Munich to HDFC Ergo, Apollo Munich has made a major impact in the country's insurance industry.
Now the merged HDFC Ergo and Apollo Munich aim to result from greater product innovation. The expansion of the company will benefit their 1.2 crore policyholders. The merger plan will attract new shareholders.
The merged company will have a portfolio with a mixture of 39% accident and health insurance, 28% health insurance and the rest will be commercial and crop insurance. Market It will increase competition in the Private Insurance industry.

Shares of Apollo Hospitals Enterprise traded 1.17 % up to Rs 1,368 while those of HDFC were raised to 0.64% reached to Rs 2,192.25 on BSE today.