9Unicorns, NexStep Discovery Pte, CP Ventures, Venture Catalysts and IPV also participated in the round
Ensuredit will deploy funds to ramp up product offerings and expand its technology team
Ensuredit is a platform as a service (PaaS) model that facilitates brokers, corporate agents, insurance marketing firms, and insurers in boosting their revenue generation
Gurgaon and Bengaluru-based insurtech startup Ensuredit has raised $4.2 Mn in its Pre-Series A funding round led by Cover Genius.
The round also saw participation from 9Unicorns, NexStep Discovery Pte, CP Ventures, Venture Catalysts and IPV.
Ensuredit will use the funds in ramping up product offerings and expanding its technology team. It will also invest in artificial intelligence, machine learning and computer vision-based products that will streamline customers’ experience, optimise sales teams, provide business analytics and prevent leakage in financial reconciliation.
Commenting on the fundraising, Amit Boni, cofounder and CEO of Ensuredit, said, “We are passionate about delivering innovative technology and digitization solutions to the insurance industry, with a special focus on insurance intermediaries and distributors. We believe that empowering them with this technology is critical to the industry’s goal of making insurance available to every Indian.”
Founded in 2019 by Amit Boni, Rohit Sadhu, and Vikas Ranga, Ensuredit is a platform-as-a-service (PaaS) model that facilitates brokers, corporate agents, insurance marketing firms, and insurers in boosting their revenue generation. Its offerings include digital onboarding, end-to-end sales suite, different payment mechanisms, policy issuance and post-sales management.
Besides, it also offers a slew of insurance policies including general insurance, life insurance and commercial or SME insurance on its platform.
At present, Ensuredit is working closely with existing insurance distributors (brokers, NBFCs and banks, etc) and is aiming to offer over 1 Mn insurance policies by the end of the financial year 2022-23, according to its statement.
In the insurtech sector, it competes with insurtech startups such as Pazcare, Digit Insurance, Acko and Policybazaar.
In the financial year 2021-22, insurance penetration in India climbed up to 4.2 % in contrast to 3.76% penetration recorded in the fiscal year 2020-21. As per an Inc42 report, insurtech startups cumulatively secured $1.8 Bn between 2014 and Q1 2022, which is over 8% of $22 Bn funds bagged by the fintech startups in aggregate.
These figures show promising growth in India’s insurtech sector. However, in reality, the sector is equally affected by macro factors such as economic depression, funding winter and geopolitical tensions, similar to other fintech startups.
Recently, insurtech startup Nova Benefits sacked close to 70 employees that were working in sales, accounts, marketing, and creative divisions.