Indian insurtech platform Zopper, backed by marquee global investors Tiger Global and Blume Ventures, said it has raised $75 million in a Series C funding round led by Creaegis.
ICICI Venture, Bessemer Venture Partners and existing backer Blume Ventures also participated in the funding, the startup said. Tiger Global will continue to extend its support for future growth, said the platform.
The 11-year-old startup, founded by Surjendu Kuila and Mayank Gupta, helps B2B and B2C organisations offer insurance products and provides end-to-end technology and service offerings to insurers.
The company had last raised $20 million in May 2015 from Tiger Global and Nirvana Ventures Advisors.
The company claims to have over 150 partners, including Amazon, Ola, Xiaomi, Croma, Hitachi, Equitas Small Finance Bank and Chaitanya, and is present in more than 1,200 cities. It has raised $96 million to date.
With the fresh funds, Zopper said it will upgrade its Software as a Service (SaaS) platform.
In 2018, PhonePe acquired the point-of-sale arm of Solvy Tech (which runs Zopper), called Zopper Retail, which served as a hyperlocal mobile marketplace for small and medium-sized businesses.
While the company did not disclose its valuation, it said it aims to achieve an annualised gross written premium (GWP) of $500 million by March 2024.
The insurance industry in India is estimated to be worth $280 billion, according to the India Brand Equity Foundation (IBEF). Zopper is trying to capitalise on India’s under-penetrated general insurance market, which remains below 5% across the country.
The insurance sector in India, crowded by the likes of Acko, LIC and PolicyBazar, has seen a sharp growth in recent times as the pandemic made more people realise the need for financial protection and insurance coverage.
The past year has seen a rise in funding for insurance startups in India, with participation from a host of global investors. This year also saw the biggest IPO in the history of the Indian markets — the Life Insurance Corporation of India (LIC), which debuted at an IPO price of Rs949 per share in May, valuing it at around Rs5.7 trillion.
Bangalore-based private equity and venture capital investor Creaegis is led by Prakash Parthasarathy, formerly CIO and managing partner of PremjiInvest, a multi-family office specialising in PE and VC investments.
Creaegis Advisors sought to raise $500 million for its latest fund, with the International Finance Corporation (IFC), a member of the World Bank Group, proposing to invest up to $25 million into it, DealStreetAsia reported in April.