Paramount Health Services & Insurance TPA, owned by Fairfax Asia and the Shah family. It is one of India’s leading third-party administrators (TPA), licensed by the IRDAI managing health insurance policies across group, retail and government segment. It managed Rs 3,866 crore of total premiums for Group & retail segment and reported revenue from operations of Rs 153 crore in FY24.
Paramount TPA works with 30 insurers and more than 3,000 group customers and retail policyholders. With the acquisition of Paramount TPA, Medi Assist TPA market share will grow to 36.6% for the group segment and 23.6% of the health insurance industry, by premiums managed.
This acquisition with enable Medi Assist deliver further efficiencies across teams, technology and inpatient/outpatient networks thereby strengthening its proposition as a long-term strategic partner to Insurers (General, SAHI and Life).
The company will acquire 100% stake for total consideration of Rs 311.8 crore, subject to regulatory approval and completion of customary closing formalities.
The said acquisition is expected to be completed in 4-6 months by end of FY2025.
Gobinath Athappan, chairman & CEO, Fairfax Asia, said, “Paramount TPA has performed really well over the past years under Dr. Nayan Shah’s leadership. We are thrilled that in its new home, Medi Assist TPA, it will reach greater heights.”
Dr. Nayan Shah, MD Paramount TPA, said, “Paramount TPAs 28-years of leadership in the TPA industry stands testament to its success. Our COO, Atman Shah’s leadership has been instrumental in the growth of the business. The coming together of 2 leading TPAs will go a long way in delivering on the promise of Insurance for all by 2047.”
Satish Gidugu, CEO Medi Assist, said, “This strategic move strengthens our market leadership and aligns with our long-term vision of making quality healthcare accessible and efficient. I welcome the Paramount team to the Medi Assist family and to achieving greater milestones.”
Medi Assist Healthcare Services provides third party administration (TPA) services to insurance companies through its wholly owned Subsidiaries, Medi Assist TPA, Medvantage TPA and Raksha TPA. A third party administrator is an organization that processes health insurance claims for insurance companies and provides services such as policy administration, customer service and network management, among others.
The company’s consolidated net profi increased 5.9% to Rs 18.82 crore in Q1 FY25 as compared with Rs 17.77 crore in Q1 FY24. Net sales jumped 19.1% YoY to Rs 167.71 crore during the quarter.