Plum Raises $20.6M Series B to Expand AI Insurance & Healthcare

Abhishek Poddar and Saurabh Arora, Plum Co-Founders

Indian corporate insurance startup Plum said on Thursday it has raised 1.93 billion rupees ($20.6 million) as ​part of its Series B funding round led by ‌Peak XV Partners, valuing the company at 11.81 billion rupees, according to CEO Abhishek Poddar.

GMO Venture Partners and existing investor Tanglin Venture Partners also ​participated in the round.

The Bengaluru-based company plans to use the ​fresh capital to scale marketing and sales efforts to expand its ⁠presence in India's corporate insurance market, deepen technology investments - particularly in AI-driven claims ​operations - and expand into preventive and primary healthcare, Poddar said.

Until last ​year, Plum generated its revenue purely from insurance broking. Its newer healthcare vertical, however, is soon expected to account for a larger share of its revenue mix.

"If I ​look at the revenue distribution, 80% insurance and 20% healthcare. ​Very quickly, healthcare has become significant for us, and it's growing in ‌triple ⁠digits," Poddar said.

"Our prediction is that healthcare within our corporate business would be roughly 40% to 45% within the next couple of years."

The company is already seeing substantial efficiency gains ​from AI, especially in claims-processing, which forms the ​bulk of its ⁠operations, Poddar added.

"In the last four years, our claims volume has grown by around 50 ​times. We have been able to scale by ​50 ⁠times with a team that would have grown by two times. That's the kind of scale advantage and efficiency advantage that you ⁠can ​generate using AI," he said.

Plum, backed ​by Tiger Global, counts Meesho (MEES.NS), PhonePe (PHOP.NS), Swiggy (SWIG.NS), Urban Company (URBN.NS), and Zomato (ETEA.NS), among its clients.

Source: Reuters