Lightspeed India Partners, an investor in firms such as Byju’s, OYO and Udaan, has invested in insurance startup BimaPe - which provides a digital interface for people and families to manage their insurance plans.
Founded by 23-year-old Rahul Mathur, BimaPe currently condenses 50-60 page jargon-filled insurance documents into a jargon-free interface that allows users to understand what their policy covers and does not cover.
BimaPe enables users to seamlessly manage their family’s insurance. Users can get an overview of all their insurance policies, make one-click claims, and discover several hidden insurance benefits from their bank cards and Provident Fund.
The $545,000 pre-seed funding will help BimaPe further develop the company’s product, expand its team and invest in paid user acquisition
The startup was also part of Y-Combinator’s Winter 2021 batch, and a person familiar with the matter said that BimaPe had also raised $1.5 million more from Lightspeed, Titan Capital, iSeed and Gemba Capital among others.
“Adoption of insurance products by Indian consumers is in its infancy. India’s emerging middle class was forced to interact with online only financial services companies during the pandemic. BimaPe’s emphasis on building a product to guide users to make better insurance decisions has driven strong word of mouth in an otherwise Customer Acquisition Cost (CAC) intensive market,” said Harsha Kumar, General Partner at Lightspeed India.
In addition to managing your existing insurance plans, BimaPe is also in the process of acquiring an insurance brokerage license, which will help it sell insurance, make money and make its claims integration process far deeper. It has negligible revenue currently, not unusual for early stage internet startups.
“We are also running a small pilot to see whether you can have automated claims. On term insurance we are partnering HDFC Life, Max Life and others, and I think the opportunity is massive. To make the insurance understanding process simpler, and then to change habits,” Mathur told Moneycontrol.