Insurance Samadhan
Initial Ask – Rs. 1Cr. for 1% equity at a valuation of Rs. 100 Cr.
About the Company
The company is one which helps the victims of insurance holders to resolve the issue of the insurance holders not getting insurance claims. The company deals in Life, Health and General Insurance claims and helps the victims of the fraud to get the claim from insurance claims. The company has a website, where there is a Whatsapp Bot, which will ask basic questions. The answers to these questions determine whether the cases have adequate prooves for the case to be taken and the claim to be won. The company accepts, on an average, 5-6 cases on every 100 people who come to the website. The company has a success rate of 70% and it charges 12% of the amount of claim won by the user as its fees.
The company has been successfully able to bring down the period required for resolution of insurance claim to 45-60 days and has experienced no bad debts as of now.
Previous Equity Split
5Cr. raised already at a 25Cr. valuation, 20% diluted.
Industry Overview
The insurance providers have been seen to avoid giving claims to the victims of the insurance holders. All types of insurances are sold to people by giving false claims, because of lack of awareness. As of now, there are no other companies which are taking up the resolutions of insurance cases.
In the industry, an average insurance claim takes around 4-5 months to be claimed, and the percentage of bad debt, i.e., money claimed but not received is very high due to which the industry experiences high operating cycles.
Past performance of the Company
The company has solved more than 14000 insurance claim cases and has resolved cases of claim amount over Rs.30Cr. The total revenue of the company is around 3.6Cr., considering a 12% revenue on resolved claims. Previous month the revenue was 22lacs. Around 80Cr. worth of claims is still in the funnel, and this might bring around 9-10Cr. of revenue in the next month.
Offers made, and the one accepted:
ineeta offered 1Cr. for 25%
Peyush also offered 1Cr. for 10%, which was countered at 1.3%
Peyush then offered 1Cr. at 5%, countered at 2.5%. But Peyush cannot come down below 5%.
Finally, Peyush offered the same at 4%, which was accepted