Bengaluru based Health Insurance startup, Plum, has raised INR 7 Crores in a seed funding round. Incubate Fund spearheaded the round while the round also participation from Gemba Capital and Tracxn Labs.
Clutch of angel investors including Abhijit Gupta and Ram Sahasranam of Praxify Health, Sudheendra Chilappagari of Belong.co, Nitin Jayakrishnan of Pando and Alvin Tse of Xiaomi also participated in the round.
The company plans to utilize the capital to scale business & engineering teams in order to resolve some of the hardest engineering challenges in Insurtech and build innovative distribution channels, the startup said in the official statement.
The startup is currently working with 9 insurance companies and claims to have got over 100 companies as its loyal customers within merely four-month of its launch.
Commenting about the funding, Nao Murakami, Founder and General Partner at Incubate Fund India said “Health insurance is now becoming a “must-have” product in India, especially in the post-COVID world. It is an essential component for companies to attract talent. However, group health insurance is a very complicated product in nature and the entire customer process from buying to claiming is still very manual in India. So, there is a huge gap between insurance companies, employers, and employees.
He further added “Plum is filling this gap by bringing transparency and efficiency through beautiful technology and product. Abhishek and Saurabh have a very clear vision which aligns with what we see as a future of health insurance in India”.
Abhishek Poddar, Co-founder & CEO, Plum said “With Plum, we want to enable every last company in India to provide a high-quality health cover to their employees, no matter how small or big they are. We want to be the de-facto platform for employee health insurance, initially in India, and later in other developing markets like SE Asia and Latam.”
Plum was founded in late 2019 by Abhishek Poddar and Saurabh Arora, both young entrepreneurs come with rich experience in financial technologies and insurance distribution. The company through its online platform, www.plumhq.com, offers employers & employees with more flexibility, transparent pricing, and high-quality healthcare experience.
According to a rough estimate, India’s group health insurance market is expected to reach INR 100,000 crores by 2025. The sector has witnessed a health growth rate of 25% over the last few years.