The funding was led by impact venture fund Omnivore, with additional participation from Kettleborough VC.
Founded by Sandeep Katiyar, Navneet Shrivastava, and Vinod Singh, Finhaat is a cutting-edge financial product delivery platform targeting the emerging middle-class and lower-income segments, particularly in rural, tier III, and IV cities. The startup’s primary focus is on providing a comprehensive range of insurance products through its dedicated platform, Finhaat Insurance Broking Pvt Ltd.
The newly acquired funds will be strategically utilised by Finhaat to further develop its technological models, introduce innovative products, expand its partner base, and recruit resources for venturing into new verticals. Since its inception in 2022, Finhaat has prioritised insurance as its inaugural product vertical and aims to establish itself as a leading business-to-business (B2B) insurance distribution platform.Catering to institutions serving the underserved, Finhaat’s platform is designed for collaboration with a diverse range of entities, including NBFCs, MFIs, BC networks, Nidhi companies, cooperatives, NGOs, and FPOs. The startup’s vision is to enhance accessibility to insurance solutions for populations traditionally overlooked by mainstream financial services.
This latest funding round not only signifies a vote of confidence from investors but also positions Finhaat to play a pivotal role in reshaping the landscape of insurance distribution, especially in sectors that have been historically underserved.
“Our operations already cover over 65% of pin codes in India. We are determined to transform the financial services space for the underserved,” said cofounder Singh.
“Financial inclusion remains dismally low in rural India – just 11.5% of households have net savings, and under 10% have life insurance. This vulnerability is most acute in low-income segments, especially for farmers confronting myriad risks. Yet, tailored products to mitigate uncertainties and boost financial stability and growth are few and far between,” said Omnivore’s managing partner Jinesh Shah.
India’s insurance sector, traditionally characterised by legacy systems and intricate processes, is undergoing a transformative upheaval. The industry has witnessed a sustained surge in momentum, with notable developments in recent months.In November, Onsurity, an insurtech startup, made headlines by securing an impressive $24 million in its Series B funding round. The funding, spearheaded by the International Finance Corporation (IFC), aims to facilitate collaborative efforts between Onsurity and its insurance partners. The primary objective is to co-create a cutting-edge technology solution that fosters seamless and transparent transactions within the insurance space.
Adding to the industry’s dynamic landscape, the prominent fintech soonicorn InCred has signaled its intent to venture into the insurtech segment. In a regulatory filing, InCred revealed its board’s approval to pursue a corporate insurance agency license from the Insurance Regulatory and Development Authority of India (IRDAI). The move enables InCred to explore and potentially reshape the insurance landscape, aligning with the evolving needs of the market and its customer base.
