Acko, an insurance technology startup, has raised $20 million (approx INR 143 crore) in its latest round of funding from Flipkart co-founder Binny Bansal, reported ET, citing closed sources.
As per the sources, post transaction, Bansal’s total investment into the fintech startup Acko, will go up to $45 million, making it his largest personal bet on an Indian startup.
The entire financing, including Bansal’s investment, is domestic capital and subject to regulatory approval.
Founded by Varun Dua in 2016, Acko General Insurance provides relevant insurance products, catering to the needs of the digitally-savvy consumer.
The online insurtech provider startup also offers innovative and bite-sized insurance products such as rider insurance, mobile and appliance protection, and ticket cancellation.
Bansal is also close to launching a growth-stage technology focused $350-400 million investment fund, which will back startups in India and Southeast Asia. However, Acko will not be e a part of the fund, said sources.
Expected to be formalised by March next year, Bansal’s fund will back companies with $15-30 million in capital.
The company Acko is also targeting to hit $100 million in annualised run rate by March 2020. Insurtech startups globally are looking to disrupt the age-old insurance industry.
Acko, which is modelled on the likes of Geico and Progressive in the US and China’s Alibaba and Tencent backed Zhong operates in two verticals — car and bike insurance — which it sells directly to consumers.