Mumbai-based online insurance brokerage platform Coverfox has reportedly raised about $15 Mn (INR 96 Cr) in Series C round of funding. As per ET sources closer to the development, the round was led by US insurer Transamerica, along with the participation of existing investors.
Glibberbug Technologies, which runs Coverfox.com, was established in 2012 by IIT-Bombay alumni Devendra Rane and Varun Dua. It was started as a venture to build technology for insurance firms. However, the company pivoted and started selling insurance online under the brand name Coverfox.
The latest round of funding has pitched the valuation of Coverfox between $70 Mn and $100 Mn, according to sources. Coverfox’s existing investors include SAIF Partners, Accel India and Catamaran Ventures the family office of Infosys co-founder, NR Narayana Murthy.
Coverfox is also reportedly in funding discussions with Fosun Kinzon Capital, the venture capital unit of Chinese conglomerate Fosun International.
However, Devendra Rane, founder & Chief Technology Officer in an emailed response to Inc42 said that the company is only in talks to raise funding. “It is premature to talk about it conclusively at this stage. Once confirmed, we will be making a formal announcement.”
Recently, it was reported that Coverfox co-founder Varun Dua has moved on to fully operate his newly founded venture Acko General Insurance. The company recently received its in-principle regulatory clearance to launch a General Insurance business in India. It has received an R1 license and has filed for R2 license with the insurance authority.
Last month Acko secured $30 Mn in a Seed round of funding. The investors included Narayan Murthy’s Catamaran Ventures; Venk Krishnan and Subba Rao of NuVentures; Kris Gopalakrishnan; Hemendra Kothari of DSP Blackrock; Atul Nishar – founder & Chairman of Hexaware Technologies; Rajeev Gupta, veteran investment banker and founder of Arpwood Capital, Accel Partners, and SAIF Partners.
The Indian fintech market, currently standing at $1.2 Bn, is forecasted to touch $2.4 Bn by 2020. Lending and payments, in particular, have also paved the path for this unprecedented growth. In February 2017, Times Internet launched an online insurance distribution platform ETInsure. Other players in this segment apart from Coverfox include Easypolicy, PolicyBazaar, Turtlemint, and BankBazaar among others.
(The development was reported by ET)