Acko General Insurance, a new insurance startup launched by ex Coverfox co-founder Varun Dua received $30MN one of the largest seed rounds for a startup in India. The Investors include Narayan Murthy and Kris Gopalakrishnan, Co-founder of Infosys, Venk Krishnan and Subba Rao of NuVentures, Hemendra Kothari of DSP Blackrock, Atul Nishar – Founder and Chairman of Hexaware Technologies, Rajeev Gupta, veteran investment banker and Founder of Arpwood Capital, Accel and SAIF Partners.
Acko was founded by Varun Dua in 2017 and will operate as an independent general insurance company with its entire operations offered through the digital platform. It will create personalized insurance products based on user consumption behaviors.
Recently, the company has received (R1 licence) in principle regulatory clearance to launch a general insurance business in India. Further, it has filed for the R2 licence with the insurance authority which is due.
Varun Dua, Founder of Acko said, “With Acko we want to make insurance so straightforward that consumers don’t need to talk to multiple people to get advice or fill up forms. Consumers should be able to access low prices in one click based on their risk profile, and be confident that at a press of a button – their claim will get paid in the fastest possible time.”
The company will spend significantly on building technology, especially in data analytics, and in distribution. It will also spend raised money on marketing since Acko is a new brand.
“Consumers need to be given more innovative product choices, at a price point that is ‘designed’ for them & at an unparalleled convenience and service levels. All of this is only possible within the construct of ‘manufacturing insurance’ and thus we are delighted to support Acko in being the first fully digital insurer of the country,” said Vivek Mathur, Managing Director, SAIF Partners.
In the global market, U.S., China and Europe have seen billion-dollar startup such Oscar Health, Lemonade, Zhong and by integrating appropriate technology they have disrupted the Insurance ecosystem.