A Nigerian Insurtech startup, Curacel, has raised $3 million in seed funding to roll out new technology solutions designed to power the next generation of insurance experiences in Africa.
The company said the new funding will also support its expansion into North Africa.
The seed funding round had participation from Tencent, AAF Management (invested in Sure, and Flutterwave), Elefund (invested in Robinhood, Pie Insurance, and Sure), Blue Point Capital Partners, Pioneer Fund, Olive Tree Capital, and Y Combinator, as well as James Park (CEO of Fitbit), Olugbenga ‘GB’ Agboola (CEO of Flutterwave), Babs Ogundeyi (CEO of Kuda) and other strategic investors.
Top executives from Covergenius, Zopper, and Pie Insurance will also join Curacel’s advisory board as part of the round.
The insurtech startup makes it easier for insurers to distribute their products, automate their claims processes, and drive revenue growth by giving them easy-to-use technology solutions that have been specifically designed to drive up insurance inclusion on the continent.
The company said it has processed more than $100 million worth of claims, working with more than 20 insurers and more than 5,000 service providers in 8 countries across the continent.
In 2022, Curacel grew its transaction volume by 600% and increased its revenue by 500%. Starting with Egypt and Morocco, the new funding will enable the company to roll out its services in North Africa and deepen its presence in other parts of the continent.
Commenting on how the funding will impact the operations of the company, Curacel’s CEO and co-founder, Henry Mascot, said “We are bullish on the potential of the right technology in the right places to close the protection gap across Africa and emerging markets. It is an exciting time for us as we secure the capital to deliver the vision and onboard the people who have built these technologies at scale in more mature markets, and we are looking forward to delivering more technology solutions to drive up insurance inclusion.”
The Managing Director and General Partner at AAF Management, Omar Darwazah, also said “At less than 3%, the insurance penetration rate in Africa is one of the lowest in the world, presenting an incredible market opportunity for Henry and the team at Curacel to bridge that insurance gap. We are excited to participate in the company’s Seed round and join Curacel’s mission of building easy-to-use technology solutions for insurers to distribute their products on the continent.”
“Africa remains a relatively untapped market when it comes to insurance and technology presents the best opportunity to reach new users and deliver excellent services. Curacel has built a suite of solutions and an impressive track record of success that makes us very excited to be supporting them on their mission to use technology to drive up insurance inclusion in Africa,” said the General Partner at Elefund, Serik Kaldykulov.