InsuranceDekho,which raised $150 million in one of the largest Series A rounds in India earlier this year, has secured another $60 million as a part of its ongoing Series B round, less than eight months after its last fundraise.
The platform's new investors include Venture Catalysts’s growth capital vehicle Beams Fintech Fund, Japanese giant Mitsubishi UFJ Financial Group, BNP Paribas Cardif, through its Insurtech fund managed by European investment major Eurazeo and Yogesh Mahansaria Family Office.
VCCircle had reported in August that Girnar Insurance Brokers Pvt. Ltd, which runs InsuranceDekho and is part of the CarDekho Group, was in talks to raise another round, with Beams Fintech Fund, a growth capital vehicle floated by investment firm Venture Catalysts last year, looking to lead the round.
The latest round saw Beams Fintech infusing $10 million. Existing investors, including TVS Capital, Goldman Sachs Asset Management, and Avataar Ventures also participated in the round.
InsuranceDekho said it plans to use the fresh capital for marketing activities, improve its offerings, and further expand its distribution presence in the country, as it scales up its tech platform. It will also explore more inorganic opportunities, having already acquired two companies earlier this year: Verak and IRSS.
“Our aim has been to make insurance accessible and user-friendly for all Indians, and this funding will allow us to accelerate our efforts, reach more customers, and innovate further in the insurtech space,” said Ankit Agrawal, chief executive and founder of InsuranceDekho.
Founded in 2017 by Agrawal and Ish Babbar, the Gurugram-headquartered startup allows its consumers to compare different insurance policies and purchase them. It has partnered with 47 insurance companies currently offering more than 500 plans on its platform.
The development follows InsureDekho’s $150 million fundraise in February this year, when it added New York-based Goldman Sachs Asset Management and homegrown mid-market private-equity firm TVS Capital Funds on to its captable. The fundraise comprised about $110 million in equity, and the remainder $40 million in debt.
Similar to its last fundraise, the current round is also a mix of capital and debt.
“The insurance space in India is marred with low penetration, lack of trust, mis-selling, limited access and affordability. Within this complex space, we found InsuranceDekho building a large platform solving the penetration problem,” said Sagar Agarvwal, managing partner, Beams Fintech Fund. “In the Indian insurance market, where protection and financial security is paramount, the potential for growth in this sector is immense."
InsuranceDekho aims to achieve Rs 3,600 crore in premium this financial year.
“ Our entry into the Insurtech sector signifies a strategic commitment to increase insurance accessibility in India. InsuranceDekho's tech-driven last-mile distribution model perfectly aligns with our vision of advancing insurance outreach in India,” said Shashank Joshi, Deputy CEO Mitsubishi UFJ Financial Group, India.
