Acko General Insurance, an online insurance startup, founded by Coverfox Co-founder Varun Dua, has revealed that the company managed to raise around $12 million in a new round of investment, led by Amazon.
Along with Amazon, Ashish Dhawan, who is a veteran investor and founder of Private Equity fund ChrysCapital; and existing investor Catamaran Ventures have also participated in this funding round.
Amit Agarwal, SVP and Country Manager, Amazon India, said,
Acko is a young and nimble startup bringing technology and data-led innovation to the insurance sector to deliver a better insurance experience for customers. We are excited to back companies that are focused on using technology for enhanced customer experience and are led by missionary founders and management teams.
With this new funding round, the total equity funding raised by the company nearly stands at $42 million. Last May, Acko had secured $30 million, in what could arguably be the largest seed round by an Indian firm, from Accel Partners and SAIF Partners.
Founded by Coverfox co-founder Varun Dua in 2016, Acko offers general insurance products such as auto and smartphone insurance on its online platform. Earlier, Dua had said that the online insurance platform, which had got its licence from Insurance Regulatory and Development Authority (IRDA) last September, was also considering foraying into the health insurance space with products for dental treatment, besides schemes for pets.
The online insurance platform competes with Coverfox, which had recently raised $22 million, besides Fairfax Financial Holdings-backed Digit Insurance, and Policybazaar, among others. One of the leading digital payments startup Paytm, which claims to have 300 million users, had also floated two new insurance units in February to offer non-life and general insurance products.