CoverSure Raises $4 Million in Pre-Series A Round Led by Enam Holdings
Consumer-focused insurance technology startup CoverSure has successfully raised $4 million in its pre-series A funding round. The funding round was led by Enam Holdings, a prominent investor in both private and listed firms, the company announced on Monday.
CoverSure, founded in January 2023, is set to utilize the newly acquired capital to develop a consumer-centric insurance engagement platform. This platform will leverage data intelligence and machine learning capabilities to enhance business expansion across India. The startup specializes in automating insurance policy management for users, offering insights into coverage benefits and gaps, handling renewals, and providing claim assistance across various segments, including health, life, motor, and travel.
Speaking on the recent development, Saurabh Vijayvergia, Founder & CEO of CoverSure, emphasized the company’s mission to improve insurance penetration in India. He stated, “Insurance problems of a family need an unbiased approach to solve and to that extent, we have built digital solutions with an intuitive app-first approach. At CoverSure, we are navigating people through personalized risk management dynamically, streamlined policy management, family care etc while bridging protection gaps.”
Vijayvergia further elaborated on the company’s goals, saying, “The goal is to address the insurance penetration problem by empowering millions of Indians who are uncertain about their insurance coverage.”
The Indian insurance industry is poised for significant growth, with CoverSure citing expectations of a compound annual growth rate exceeding 14% over the next decade. The company anticipates continued momentum in regulatory relaxations, which are projected to make insurance more consumer-centric and drive higher adoption rates.
According to the Insurance Regulatory and Development Authority of India (IRDAI) annual report for 2022-23, India was the 10th largest insurance market globally, boasting a premium volume of $131 billion, representing a 1.9% share of the global insurance premium. The report also highlighted the rapid growth trajectory of India’s insurance sector, projecting it to become the sixth largest market by 2032. Factors contributing to this growth include strong economic performance, rising disposable incomes, a youthful population, increased risk awareness, digital penetration, and favorable regulatory developments.