Acko, an insurtech based in India, has acquired unicorn status after it raised US$255mn in a Series D funding round. The round was led by investment firms General Atlantic and Multiples Private Equity. Companies achieve unicorn status when their value reaches US$1bn or more.
The round also saw participation from the Canada Pension Plan Investment Board and Lightspeed, a global technology-focused investment firm, as well as existing investors, Intact Ventures and Munich Re Ventures. This latest fundraiser values the company at over US$1.1bn and means its total funds raised to US$450mn.
Previously, Acko has raised capital from respected investors including Amazon, Accel, Elevation, Ascent Capital, Intact Ventures, Munich Re Ventures, and Flipkart’s co-founder Binny Bansal, among others.
Varun Dua, ACKO’s Founder & CEO, said, “We are thrilled to partner with trusted investors who have a deep understanding of the regulatory environment and bring first-hand experience in working with innovative, high-growth companies.”
The company intends to further invest in the healthcare vertical and scale its team, particularly within technology, product, and data science. “We have succeeded on the auto front and will continue to scale and innovate in our flagship auto insurance business,” said Dua. “We also continue to deepen our health strategy and intend to invest over $150mn in the health business in the near future. We believe health insurance products, claims innovation, and a deeply connected ecosystem of health services that improve health outcomes for customers are today’s most urgent needs.”
Acko’s insurance customer base
Acko is one of India’s first digital-native insurers and has pioneered the direct-to-consumer auto insurance space in the country. It also has one of the largest market shares in embedded insurance products like mobility and gadget insurance across large digital consumer platforms like Amazon, MakeMyTrip, Ola, Urban Company, Bajaj Finance, and others.
In addition, ACKO covers nearly a million gig workers in the country through partnerships with companies including Zomato and Swiggy, with tailored coverage to protect its large and rapidly growing workforce.