PolicyBazaar.com, which raised $5 million in funding recently from Inventus Capital and Info Edge, has shut down its insurance agent platform PolicyDeals. PolicyDeals helped insurance agents source leads from their preferred city and location, to sell more leads. An alert reader wrote in to us saying that the company had taken the site down, and was refunding unutilized money to agents, adding that this would affect agents, and that it is “bad news specially if the market leader in online lead aggregation makes such a move.”
We checked with Yashish Dahiya, CEO and founder of PolicyBazaar on the reason behind shutting PolicyDeals, and he wrote back saying that the company had received complaints from customers over agents following up aggressively, and wanting more control around permission based calling. PolicyBazaar shut down PolicyDeals on the 3rd of April this year, and they will relaunch it only when they feel they have better control. His statement:
“We received a few customer complaints that agents were following up aggressively, and they suggested more control around permission based calling, so we have closed this from 3rd April this year, and will only return once we are confident we can enforce service levels, and protect consumer privacy.”
In any case, PolicyBazaar has moved away from being primarily a web aggregator. Dahiya had recently told MediaNama that 85% of their revenue now comes from their call center operation, even though they have a web aggregator business, and a subsidiary which does insurance comparison.