Mumbai based InsurTech Platform startup, Riskcovry, confirmed today that they have closed their Pre-Series-A round led by Bharat Inclusion Seed Fund, which also saw participation from Varanium Capital and Better Capital.
Riskcovry considers itself as a neo-insurer providing “insurance-in-a-box” solution, which allows any business with a large captive user base to enable distribution of insurance to their users in an end-to-end fashion. The company has taken the payment gateway (PG) approach of enabling insurance as a financial services layer to any business. Just like a PG cuts across multiple payment instruments (cards, UPI, wallet etc.) and issuers, Riskcovry enables the distribution of multiple insurance products across insurers (Health, General and Life) with plug-and-play infra to support any distribution use-case, for existing or new customers, completely digitally as a “one-stop-shop”.
The startup was incorporated in 2018 by the founders, Suvendu Prusty, Sorabh Bhandari and Chiranth Patil. Suvendu and Sorabh are ex-insurance industry execs who built the distribution books of two insurers, whereas Chiranth is a two-time founder who comes from a fintech & strategy background. Vidya Sridharan is also a co-founder and CTO, and brings in deep technology experience.
The founders issued a joint statement, “As a startup, we get a chance to dream big and back it up with our execution chops. We dream of a time when insurance is truly democratized for all Indians. We figured that an inclusive model that connects various players in the insurance industry is win-win and scalable. For this, we needed to organise the insurance value chain by way of technology, which makes it easy for various types of products to be distributed.
We serve our distribution partner community by essentially being that unified solution for them to do anything insurance. This means not just enabling for ‘purchase’, but also two other touchpoints their end-users typically have with providers as part of insurance life-cycle i.e., ‘manage’ and ‘claims’, all digital, and on-demand.
We are super excited to be partnering with the Bharat Inclusion Seed Fund, Varanium Capital and Better Capital for our Pre-Series-A round. We embrace mutual thesis around intersecting inclusive insurance ecosystems with new-age technology tools and look forward to working with them closely as we accelerate into the next stage of our company’s evolution. This round will help us scale on our product-market fit, and serve more enterprise customers across segments that enable both mainstream and alternative insurance distribution. We look forward to building out our technology, product, data sciences, sales and growth teams.”
Saras Agarwal, Principal at Bharat Inclusion Seed Fund added, “Riskcovry brings a fresh approach to digital distribution for the insurance market. Their API-first approach helps enterprise customers get access to highly relevant insurance products, through a completely digital process of underwriting, policy issuance, claim settlement and compliance. This extends the reach for insurance companies and provides downside protection to many end-users of enterprise customers at a very reasonable price point. We are very excited to support the team on this journey!”
Riskcovry falls into the “financial infrastructure” bucket, essentially, a startup space that enables the ‘rails’ or ‘pipes’ that connect various payers within the industry’s value chain via APIs (Application Programming Interfaces) in order to seamlessly interact with each other.
Of late, this space has seen conviction from many financial and strategic corporate investors. Some noteworthy deals in India include Payments & Cards Infra Provider M2P’s recent Series-A of $4.5M led by BeeNext and FinTech Infra company Setu’s Series-A of $15M led by LightSpeed with co-investment from Bharat Inclusion Seed Fund among others. Globally speaking, US headquartered payment network VISA acquired Plaid for $5.3B, a Silicon Valley based FinTech company that enables applications to connect to users’ bank accounts via APIs.
Bharat Inclusion Seed Fund is an early-stage venture capital fund, that supports ventures leveraging technology to build inclusive solutions for India’s next half billion. The fund invests at the idea, seed or pre-series-A stage in high impact sectors such as finance, health, education and livelihood.
The fund is built on a decade-long start-up engagement experience and deep-rooted network of IIM-Ahmedabad’s CIIE.CO, which has been running leading accelerator programs and seed-funds in India since 2008.
Riskcovry InsurTech Platform is an omni-channel insurance distribution technology company. It bridges the gap between demand-side distribution and supply-side manufacturing sides of the insurance value chain, by providing product innovation & commercialization, omni-channel distribution technology & data analytics. Current customers include Banks, FinTechs, eCommerce, Digital, NBFCs, Brokers, BCs, HRTech, HealthTech and Supply-Chain companies.