Plum founders
Plum founders

Bengaluru startup Plum raises $15.6 Million led by Tiger Global

The employee health insurance startup Plum will be using the funds to scale its engineering, business development and operations teams. Plum is building newer insurance products for SMEs who have teams as small as seven employees and cannot afford to pay annual premiums.

Additionally, Plum is looking at building deeper API integrations with insurers like ICICI Lombard, Care Health, Star Health, and New India Assurance.

The Bengaluru based startup Plum which provides health benefits to small and medium enterprises raised $15.6 Million in Series A funding led by Tiger Global, existing investors Sequoia Capital India’s Surge, Tanglin Venture Partners, Incubate Fund, and Gemba Capital also participated.

Angel investors, including Kunal Shah (Founder, Cred); Gaurav Munjal, Roman Saini, and Hemesh Singh (Founders, Unacademy); Lalit Keshre, Harsh Jain, and Ishan Bansal (Founders, Groww); Ramakant Sharma and  Anuj Srivastava (Founders, Livspace); and Douglas Feirstein (Founder, Hired), also participated in the round. 

Plum has also raised $5 Million in earlier rounds.

Plum founders

“Plum aims to reach a milestone of 10 million lives insured by 2025 by changing the employee health insurance space. With Plum, we are making the process transparent, affordable, and easy, using tech at scale. The adoption of health insurance by startups, SMEs, and corporates is increasing exponentially, and is further accelerated by the ongoing COVID-19 pandemic.” said Co-founder and CEO of Plum Abhishek Poddar.

Plum was founded in 2019 by Abhishek Poddar and Saurabh Arora, the startup is re-imagining the employees health insurance stack by its new underwriting and fraud detection algorithms. The company enables its users to buy insurance in just three clicks.

The startup has onboard 600 organisations uptill now which includes SMEs , corporates and Indian startups including Groww, Unacademy, Twilio, CleverTap, UrbanLadder, smallcase and Simpl. Plum claims to witness a growth of 110 percent quarter-on-quarter.

Scott Shleider, Partner at Tiger Global said, “We are excited to partner with Abhishek and Saurabh as India’s healthcare insurance industry rapidly expands and transforms, Plum is well-positioned to make comprehensive health insurance accessible to millions of Indians.”

The group health insurance market in India — which is almost 50 percent of the total $3.5 billion health insurance market — has seen an annual growth of about 25 percent in the last few years, doubling every three years. Group health insurance products cover about 90 million Indians and are expected to cover more than 500 million Indians by the end of this decade.