Consumer-focused insurtech startup CoverSure raises $4M in a pre-Series A funding round

CoverSure, a consumer-focused insurance technology startup, has raised $4 million in a pre-series A funding round led by Enam Holdings, an investor in both private and listed firms. 

Founded in January 2023 by Saurabh Vijayvergia, Mayank Mishra, Rohan Gaikwad, Prakash Dubey, and Harshit Jain, CoverSure aims to automate insurance policy management for users, providing insights into coverage benefits and gaps, renewals, claim assistance, and more. 

The startup operates across health, life, motor, and travel insurance segments, leveraging data intelligence and machine learning capabilities.

What is the purpose of fundraising?

CoverSure plans to use the $4 million raised to build a consumer-centric insurance engagement platform.

The platform will utilize data intelligence and machine learning to enhance the insurance experience. This investment will also support the startup's business expansion across India.

According to a press release, the platform will focus on personalized risk management, streamlined policy management, and family care, dynamically navigating users through their insurance needs.

Leadership comments

Saurabh Vijayvergia, Founder and CEO of CoverSure, emphasized the company's mission to address the insurance penetration problem in India.

"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," he said.

What is the market potential?

The Indian insurance industry is projected to grow at a compound annual growth rate (CAGR) of more than 14% over the next ten years.

According to the Insurance Regulatory and Development Authority of India (IRDAI) annual report 2022-23, India was the 10th largest insurance market globally, with a premium volume of $131 billion, holding a 1.9% share in the global insurance premium.

The report also highlighted that India's insurance sector is expected to become the sixth largest by 2032, driven by strong economic growth, rising disposable incomes, a young population, increased risk awareness, digital penetration, and regulatory developments.

Plans to introduce tailored insurance solutions

CoverSure plans to introduce tailored insurance solutions in the coming months.

The platform constructs personalized insurance portfolios for individuals and families, providing clear and unbiased policy information. With a focus on simplified risk management, CoverSure assesses users' risk profiles to offer tailored insurance solutions. 

"Our primary goal is to address the insurance penetration problem. Through our platform, we aim to simplify the user's lifetime experience towards insurance, not just the sales," Vijayvergia noted.