bimakavach: Insurtech startup BimaKavach gets IRDAI licence for corporate insurance

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Insurtech startup BimaKavach on Monday said that it has received a direct insurance broking licence from the Insurance Regulatory and Development Authority of India (IRDAI). The licence will enable the platform to expand its insurance products for businesses.

BimaKavach sells corporate insurance products, mainly targeting small and medium enterprises. It currently has a portfolio of 18 insurance products, broadly categorised into liability, asset, engineering, marine, and group health insurance.

In a statement, the Indore-based startup said that with this, it aims to collect Rs 100 crore in gross written premiums (GWPs) by FY 2024-25.

“By securing this direct business insurance licence, we aim to collect Rs 100 crore in GWP by FY 2024-25 from small and medium enterprises (SMEs) as it will focus on reducing difficulties for first-time buyers and providing tech solutions for larger enterprises to help manage insurance policies better,” Tejas Jain, the founder of BimaKavach, said in the statement.

“This launch has been a three-year journey working with top insurance and reinsurance companies to create industry-specific products. We intend to remove misselling so each business can get the right coverage at the right price,” Jain added.

This development comes at a time when insurtech startups in India are attracting marquee investors to their cap table, reaffirming investor confidence amid robust growth in the sector. For instance, the Delhi NCR-based insurtech startup InsuranceDekho raised $60 million in a recent funding round led by Mitsubishi UFJ Financial Group, with participation by BNP Paribas Cardif, among others.

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Another insurtech startup, Onsurity, raised $24 million last week in a funding round led by the International Finance Corporation (IFC).BimaKavach had raised $2 million in a seed round last year led by WaterBridge Ventures and said it is planning another fundraise in 2024.

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