Insurtech firm InsuranceDekho has acquihired Verak, a Mumbai-based SME insurance distribution firm. This will strengthen InsuranceDekho’s SME insurance vertical and expand its offerings in the micro-business insurance space.
Verak, backed by Sequoia and LightSpeed, will be consolidated with InsuranceDekho team including the former’s founder Rahul Mathur. To recall, Mathur’s previous company BimaPe shut down its operations and rebranded to Verak in September 2021.
Verak says that it covers variety of businesses including shops, restaurants, godowns, factories, and kirana stores and the company’s 99% customers are first time buyers of business insurance. It aims to insure 10 lakh businesses by March 2027.
Founded by Ankit Agrawal and Ish Babbar, InsuranceDekho works with most insurance providers and claims to have direct integration with 46 insurance companies across India offering more than 380 insurance products including 175 products for health and life. The firm further intends to expand its portfolio by offering more products in near future.
During FY22, InsuranceDekho’s revenue jumped 61% to Rs 47.91 crore from Rs 29.71 crore in FY21. Insurance brokerage and commission was the only source of revenue for the company. The firm’s losses also spiked 55.6% to Rs 72.29 crore during the last fiscal year, as per its annual financial statement. On a group level, CarDekho registered Rs 1,597 crore in revenue in FY22. InsuranceDekho contributed only 3% to the overall revenue.