Amazon Invests $12M in Indian Startup Acko
Amazon is again planning bin in its efforts to invest in India which is clear from its recent investment of $12 million in the India-based insurance startup firm Acko. Recently, the digital insurance firm announced that its new round of funding was led by the U.S. retail giant.
Amazon has been linked with Acko investment since the beginning of this year with its backing of Capital Float last month and now leads the second round of funding for Acko with $12 million. Other investors in the funding include ChrysCapital founder Ashish Dhawan and Catamaran Ventures which is an existing backer right now. With the new round of funding, Acko has garnered about $42 million until now as part of its fund raising efforts.
Acko is a digital insurance startup founded by Varun Dua in 2016. It is to be noted here that Varun Dua is also the co-founder of Coverfox – a site for comparing insurance. Acko is focused on digital-only insurance business and is aimed at disrupting the $10 billion industry in the country by means of leveraging access to internet in the region in order to democratize the coverage while also developing and offering more products that are relevant to the users and their needs.
As of now, Acko offers several online insurance products on its online platform including smartphone and auto insurance. It has also teamed up with Ola and offers trip insurance to the customers of the ride-hailing platform.
Acko has got its license from Insurance Regulatory and Development Authority and is also considering to enter the health insurance industry with some insurance products relating to dental treatment and is also considering to include a scheme for pet insurance too at a later stage.
Dua also informed that while the company will not have any offline centres for sales, it will have some offline centres for claims.
Amazon India’s senior vice president Amit Agarwal said, “Acko is a young and nimble startup bringing technology and data-led innovation to the insurance sector to deliver better experience for customers. We are excited to back companies that are focused on using technology for enhanced customer experience and are led by missionary founders and management teams.”
Acko will also likely work around the e-commerce coverage with Amazon which will primarily focus on protecting the gadgets. Even though there is nothing sort of planned yet, the very idea is to build a collaboration the near future.