Ather Energy has received approval from the Insurance Regulatory and Development Authority of India (IRDAI) to act as a composite corporate agent. This license allows the company to distribute life, health, and general insurance policies. The move is part of a strategy to boost non-vehicle revenue, which contributed 12% of the company's total income in fiscal year 2025, while strengthening ties with its growing customer base.
Electric vehicle manufacturer Ather Energy is diversifying its business model beyond selling two-wheelers. The company’s wholly owned subsidiary, Ather Insurance, has officially received a certificate of registration from the Insurance Regulatory and Development Authority of India (IRDAI) as of October 15. This approval authorizes the firm to operate as a composite corporate agent, enabling it to distribute a variety of life, health, and general insurance products.
It is important for investors to understand the scope of this license. The regulatory approval does not allow Ather Energy to underwrite insurance policies, which means the company will not be the primary risk-bearer. Instead, it will act as a distributor and service provider for insurance companies. By integrating these financial products into its existing ecosystem, Ather Energy aims to create a secondary source of recurring service income from its retail customer base.
The strategic shift aligns with the company's focus on increasing non-vehicle revenue. In the 2025 fiscal year, non-vehicle income accounted for 12% of Ather Energy’s total operational revenue. For context, the company reported operational revenue of ₹2,255 crore in fiscal year 2025, marking a 29% growth compared to the previous year. While the company is scaling up, it is also managing costs, with its net loss narrowing to ₹812.3 crore in the same period.
The electric two-wheeler market remains highly competitive, with established incumbents such as TVS Motor and Bajaj Auto aggressively expanding their own EV portfolios. As of September 2026, data from Vahan showed Ather Energy holding a 14.71% market share in the electric two-wheeler segment, with over 30,000 registrations. The launch of the mass-market Konarc scooter reflects the company’s intent to capture a broader customer segment, and the addition of insurance services is designed to provide a more comprehensive, one-stop experience for buyers.
For investors, the key monitorable will be how effectively the company integrates these financial services into its retail network and whether this significantly contributes to margins over the coming quarters. The success of this initiative will depend on customer adoption rates and the quality of partnerships formed with insurance underwriters. As the company continues to scale its operations, tracking the growth of non-vehicle revenue will be essential to gauge the effectiveness of this diversification strategy.