When you are a small business, a startup or are just starting up, it can be a hassle to look for the right group insurance for your employees. You are generally your own HR, and hence have to look out for all employee benefits for your small team, yourself. Insurtech platform Plum realised this early and is hence trying to ease up the hassle that usually come up with employees’ group insurance. Now, the company has found backers for its service as well, raising $930K (~7 crore) in seed round.
The capital raise came in from a large suite of angel investors. The round was led by Incubate Fund with participation from Gemba Capital and Tracxn Labs along with angel investors including Abhijit Gupta and Ram Sahasranam of Praxify Health, Sudheendra Chilappagari of Belong.co, Nitin Jayakrishnan of Pando and Alvin Tse of Xiaomi.
Plum’s offering is pretty straight-forward. Unlike other insurtech platforms, which are basically acting as digital middlemen and bombarding with you a plethora of insurance schemes, Plum focusses just on group insurance. Abhishek Poddar, CEO and co-founder at Plum echoes that, “With Plum, we want to enable every last company in India to provide a high-quality health cover to their employees, no matter how small or big they are. We want to be the de-facto platform for employee health insurance, initially in India, and later in other developing markets like SE Asia and Latam.”
Apart from providing group health insurance schemes in less than 60 mins, Plum helps employees with improved health benefits including doctor consultations, health check-ups, fitness & yoga, mental wellness, nutrition and dental care. The platform enables ease of experience for employees with guided claims support. And considering the current situation, Plum also offers COVID-19 cover as an offering to its clients, however big or small they are.
The group health insurance market in India is massive. And while the existing demand itself is pretty huge, the latent demand from companies who are currently not under the group health insurance radar, is largely untapped. The current market itself is almost 50% of the total health insurance market, and is expected to grow to $13 Billion by 2025. It has seen an annual growth of about 25% in the last few years and is doubling every three years.