General insurance start-up Digit Insurance has received approval from the Insurance Regulatory and Development Authority of India (Irdai) to raise USD 84 million (about Rs 600 crore) from equity investors A91 Partners, Faering Capital, and TVS Capital.
The new round of investment will take Digit’s total funding to USD 224 million (about Rs 1,600 crore), the company said.
This is one of the largest funding rounds in the domestic general insurance space, the company, which offers a portfolio of products across motor, travel, property and health insurance, claimed.
Within two years of operation, Digit now serves more than 5 million customers and has achieved close to USD 300 million of annualized premium and has 1.2 percent market share in general insurance industry.
In addition to the three high quality institutions investing in the company, 72 Digit employees have also invested over USD 4.34 million along with the investors as part of the funding round.
The funding round shows the confidence of investors and employees on the business model, Digit Insurance founder, and Chairman Kamesh Goyal said.
Aditya Parekh, co-founder and managing director of Faering Capital, said, Digit is uniquely poised to become a dominant player in the general insurance industry and we are excited to offer our expertise and partner with them.
The company has previously raised two rounds of funding amounting to USD 140 million.
Fairfax Financial Holdings is one of the largest insurance investment companies in the world with operations in over 30 countries.
Headquartered in Bengaluru, Digit has partnered with some of the leading companies like Cleartrip, Sterling Holidays, SOTC and Policy Bazaar.