As part of its ongoing Series D round, insurtech startup RenewBuy has successfully raised $40 million from Dai-ichi Life Holdings, Inc. This Indian company stands out for its ability to offer insurance policy comparisons, connecting customers with a wide range of 40 insurance providers. With a vast network of over 100,000 advisors, RenewBuy has managed to build a loyal customer base of 5 million individuals spread across 800 cities.
In a surprising turn of events, RenewBuy, a prominent insurance major, has recently secured a staggering $40 Mn in funding from Dai-ichi Life Holdings, Inc., a Japanese insurance giant. This infusion of capital is part of RenewBuy’s ongoing Series D funding round, and the company has indicated that additional investments are expected to be finalized in the near future.
Remarkably, it has been more than two years since the innovative insurtech startup successfully concluded its previous funding round. Back in August 2021, RenewBuy secured an impressive $55 Mn in a Series C round led by Apis Partners. Additionally, the company managed to obtain a substantial debt of INR 68 Cr from Stride Ventures and InnoVen in November 2022. To date, RenewBuy has amassed an astonishing sum of over $92.7 Mn across eight funding rounds, excluding the latest influx of funds.
RenewBuy was established in 2015 by Balachander Sekhar and Indraneel Chatterjee, and it has swiftly risen to prominence by offering customers a platform to compare various insurance policies from a network comprising 40 insurance providers.
The startup proudly claims to have a vast network of over 100,000 insurance advisors and has successfully insured more than 5 million customers across a staggering 800 cities and towns in India. Impressively, RenewBuy has also established an extensive distribution franchisee network spanning 1,500 cities. Notably, the startup has revealed that 70% of its business originates from Tier III and beyond markets, showcasing its remarkable penetration into previously untapped regions.
Expressing his thoughts on the recent funding, Balachander Sekhar, the co-founder and CEO of RenewBuy, emphasized the significant digital empowerment the company has provided to its advisors over the past seven years. Furthermore, he highlighted the fact that RenewBuy has achieved remarkable sales process efficiency through the utilization of cutting-edge technology, ultimately leading to enhanced pricing options for consumers.
Sekhar further expressed his excitement about the partnership with Dai-ichi, acknowledging that it would enable RenewBuy to explore exciting growth opportunities within the broader Asian market.
Hitoshi Yamaguchi, a representative director and managing executive officer at Dai-ichi Life Holdings, Inc. praised RenewBuy as a prime example of a disruptive force that has effectively harnessed social trends and technology to reach previously untapped markets. He also highlighted the potential for their partnership to elevate the sophistication of Dai-ichi’s life insurance business in India.
Notably, RenewBuy made an intriguing acquisition last year by integrating Artivatic.AI, an AI-enabled insurtech startup, into its operations. This move was aimed at expediting the settlement of insurance claims. The integration has notably enhanced RenewBuy’s policy delivery and servicing capabilities, signaling the company’s commitment to staying at the forefront of technological advancements in the industry.
RenewBuy competes head-to-head with other major players in the market, including Policybazaar and InsuranceDekho.
The insurance sector continues to be a highly lucrative segment for fintech startups in India, primarily due to its low penetration rate and the surging demand for insurance products. According to ‘State of Indian Fintech, Q3 2022’ report, India’s insurtech segment is experiencing a remarkable compound annual growth rate of 17% and is projected to present a staggering $307 Mn market opportunity by 2030.
