Amazon-backed Acko enters the unicorn club with USD 255 Mn funding

Insurtech startup Acko becomes the latest Indian startup to achieve unicorn status, following over three dozen others in the world's second-largest internet market this year.

The Bangalore-based business has announced to have secured USD 255 million in new funding, which is yet to be cleared by the country’s regulator and bringing the total raise to USD 450 million. General Atlantic and Multiples Private Equity led Acko’s latest fundraising.

The round also saw participation from existing investors Munich Re Ventures, Intact Ventures, along with CPPIB, Canada's largest pension fund, and Lightspeed Growth. The five-year-old startup is now valued at USD 1.1 billion, up from USD 500 million a year ago, sources cited.

With a digital-first approach, Acko is seeking to take on the country's archaic insurance system. It specializes in developing and distributing bite-sized auto insurance (for drivers and others involved in transportation-related situations), healthcare protection for businesses, and protection on gadgets.

Amazon, an existing investor in Acko, travel & hotel booking network MakeMyTrip, insurance giant Bajaj Finance, ride-hailing business Ola, and Urban Company are some of Acko’s distribution partners.

Through various collaborations with firms like Swiggy and Zomato, the insurance provider company covers almost a million gig workers across the country. Acko also has over 70 million customers and generates approximately USD 175 million in premiums monthly.

Acko Founder and CEO Varun Dua stated that the platform has significantly transformed the consumer protection category and intends to continue innovating in this space. Through a differentiated product and value-added service, they believe in assisting their clients in protecting their valuable possessions or the health and safety of their loved ones, he added.

The new funding will be used to expand the startup's healthcare products and hire more expertise in technology, product, and data science jobs.

Source Credit-

https://techcrunch.com/2021/10/27/amazon-backed-insurtech-acko-joins-unicorn-club-with-255-million-funding/