Insurtech startup Covrzy receives IRDAI general insurance broking license

Bengaluru-based Bizcovr Insurance Broking Private Limited, operating under the brand name Covrzy, has been awarded a direct broking (general) license by the Insurance Regulatory and Development Authority of India (IRDAI).

The license allows Covrzy to function as a direct insurance broker in India, providing a comprehensive range of business insurance solutions.

The IRDAI, which operates under the Ministry of Finance, Government of India, regulates the nation's insurance sector.

Simplifying the insurance buying process for startups

Covrzy focuses on simplifying the insurance buying process, particularly for startups, small and medium-sized enterprises (SMEs), and micro, small, and medium enterprises (MSMEs) in India.

The startup aims to address the country's under-penetrated business insurance market through its comprehensive, web-based platform. The platform helps users manage their entire insurance cycle, from product discovery to purchase, servicing, and claims.

“We are thrilled to receive the broking license from IRDAI – which serves as a testimony to Covrzy’s pioneering innovation and dedication towards revolutionizing the business insurance landscape in India. This significant compliance milestone enables us to serve and establish our credibility amongst a larger customer base and expand rapidly, thus propelling our mission to make business insurance simple, personalized, and accessible to millions of SMEs and MSMEs across India," said Ankit Kamra, Co-founder & CEO of Covrzy.

Who are the founders?

Covrzy was co-founded in 2023 by Ankit Kamra and Veera Thota through Antler’s Residency Program.

Ankit Kamra, a two-time founder, previously played key roles at Plum (a healthtech startup) and Karbon Card (a Y Combinator-backed startup).

Veera Thota, the CTO, has over 13 years of experience with companies like Razorpay, PayPal, and Amazon, where he built scalable systems and public-facing APIs.

In May last year, the startup raised $400,000 in a pre-seed funding round led by Antler, with participation from Shastra VC (formerly Veda VC). 

Addressing Underinsurance in India

Currently, only around 1% of Indian MSMEs are insured. Covrzy aims to change this scenario with its flagship full-stack platform, designed to accelerate and enhance insurance penetration within this crucial segment of the economy.

“At the moment, only around 1% of Indian MSMEs are insured. With our flagship full-stack platform, we at Covrzy are poised to transform this scenario for the better as we move ahead to accelerate and enhance insurance penetration within the segment and support these vital business ventures that form the backbone of our economy. In the long term, all of our efforts would be directed towards protecting the health and life of these businesses in the easiest possible manner, allowing the business owners to focus on growth rather than worrying about inherent risks,” added Ankit Kamra.

Aiming to onboard over 10,000 customers

So far, Covrzy has onboarded over 500 clients across India, including both MSMEs and startups. Some of them are Redcliffe Labs, Orange Labs, Karboncard, and Schbang.

Notably, the startup has established partnerships with renowned insurer partners such as ICICI Lombard, Bajaj Allianz, and IFFCO Tokio to offer a wide array of insurance products, including commercial general liability, fire and theft insurance, product liability, cyber insurance, stock insurance, and asset insurance.

Covrzy aims to onboard and assist over 10,000 customers with their business insurance requirements in the next 12 to 18 months. Over the coming years, It targets securing insurance for over one million businesses through its platform.