Mumbai-headquartered Acko India, an insurance technology platform backed by Amazon, Accel and Flipkart co-founder Binny Bansal, has acquired vLer Technologies Pvt Ltd, an online car selling startup also headquartered in Mumbai, for an undisclosed amount, to get deeper into strengthening its auto insurance offerings.
With acquisition of vLer, Acko Insurance, which offers insurance products including motor insurance, in-trip domestic insurance and mobile insurance, will improve its offerings to customers and provide better customer satisfaction across the entire lifecycle of car purchase and usage.
Founded in 2016, by IIT Bombay almuni Sanjay Bharti and Jeevam Sirela, VLer helps customers purchase cars online. It provides car buyers a platform through an algorithm-based recommendation system, and dealer negotiations. Besides that it takes care of financing, insurance and other related paperwork after the deal is finalized.
Post acquisition, both the co-founders of vLer will be joining Acko Technology team.
vLer has also developed a recommendation engine which maps customers requirement with the cars available in the market to give them the best recommendations on choosing a particular car. With this, a typical urban customer doesn’t have to go to dealers when thinking of buying cars but sit back and relax while vLer does the work of bringing the cars at doorstep.
“Insurtech is our core and major focus area. Our next steps on this are to track down various data points on customer behaviour, usage patterns to enhance insurance and underwriting technology. We believe with the domain expertise of VLer team, it will help us leverage this faster.” said Ruchi Deepak, co-founder of Acko.
Founded in 2017 by Varun Dua, who is also founder & CEO of Coverfox.com, Acko Technologies is a parent company of Acko General Insurance. Acko follows an online-led model and hence all operations for the company are offered through the digital platform. The company received its license from the Insurance Regulatory and Development Authority of India (IRDAI) in September 2017 and in the same month raised the largest amount of seed round of $30 Mn before its launch in India.
In May last year, Amazon led $12 million funding round of Acko Technologies, marking Amazon’s first investment in India’s insurance services sector.
To date, Acko General Insurance has raised a total of about $107 Mn in funding over three rounds from investors such as Amazon, Accel Partners, SAIF Partners, Catamaran Ventures and Binny Bansal, among others.