Bajaj Finserv, the financial services conglomerate of the Bajaj Group, and Murugappa Group plans to enter the health insurance space in a move to expand its footprint, sources privy to the developments told CNBC-TV18.

Cholamandalam MS General Insurance, part of the Murugappa group, is expected to start their operations by FY19 end and Bajaj Finserv will be functioning as subsidiary of Bajaj Allianz General Insurance, said people familiar with the matter.