Insurtech platform Zopper, backed by Solvy Tech Solutions has announced to raise $75 million from investors led by Creaegis to fund its expansion plan.
The funding round saw participation from ICICI Venture and Bessemer Venture Partners, and existing backer Blume Ventures. As per reports the capital will be used to support the international expansion of Zopper and beef up the platform's technology and data engineering functions, and for strategic acquisitions.
The company is also looking to hire over 100 techies to grow the headcount to more than 600 from 475 now. Most of the hiring will be across functions of technology, data science and data engineering, the company said.
Zopper, founded in 2011, provides an application programming interface (API)-based software platform which connects insurers and banks with third-party platforms. Through the integration, it allows these platforms to embed and distribute insurance products to their customers.
Among the modules offered by Zopper, as a part of its API-based software platform, are policy issuance, policy administration, claim management, regulatory reporting along with a lead management and campaign management system.
The company works with 150 platform partners, including Equitas Small Finance Bank, fintechs such as Ola, Cars24 and Cashe; regional and rural banks as well as assurance and extended warranty providers such as Croma, Panasonic, Hitachi and Xiaomi.
Solvy Tech Solutions had last raised $20 million in May 2015 from Tiger Global and Nirvana Ventures Advisors. In 2018, digital payments company PhonePe had acquired the point-of-sale arm of Solvy Tech, called Zopper Retail, which served as a hyperlocal mobile marketplace for small and medium-sized businesses. As a part of the deal, Neeraj Jain, one of Zopper's founders, had joined PhonePe along with a large section of the company's technology and sales team.
Zopper is now scouting for acquisitions across its adjacent business lines of insurance claims and distribution. It will look to make at least two new acquisitions in the next one year, to help with increasing its margins.
The company is also eyeing markets of Southeast Asia and the Gulf Cooperation Council (GCC) region to begin its international pilots. The platform earns through a technology fee from services provided to insurer banks, as well from the cut it takes from platforms on every policy sold. It powers sales of 375,000 new insurance policies every month.