Square Insurance secures $3 Mn in pre-Series A round

Insure-tech startup Square Insurance has secured $3 million (Rs 25 crore) in a pre-Series A round co-led by BizDateUp and Negen Capital along with participation from prominent investors such as Prashant Kothari, and Yogesh Chaudhary.

The fresh funds will be utilised to enhance its technology infrastructure, focus on improving AI-driven insure-tech platform and enhance the customer experience, Square Insurance said in a press release.

Founded in 2016 by Rakesh Kumar, Square Insurance aims to structure insurance solutions which provide quality protection with value pricing. It plans to invest in creating customised micro-insurance products in collaboration with leading insurers and forming strategic partnerships with fintech and e-commerce companies. These efforts will expand its reach and impact, transforming insurance accessibility in underserved markets.

According to the Jaipur-based company, it intends to open 25-30 new offices in tier II and tier III cities, enhancing its ability to serve a larger customer base. As per the company, the expansion will improve insurance product comparisons and post-policy services for both channel partners and customers.

According to market research, the Indian insurance industry is growing at an impressive rate of 32-34% annually and the sector has attracted nearly Rs 54,000 crore ($6.5 billion) in foreign direct investment.

The other notable startups in this space are Turtlemint Insurance, Riskcovry, Coverfox, Toffee Insurance, Digit Insurance and others.