Acko invests $1.2 million in Pitstop, Expertise Information, ETtech
Insurtech agency Acko, which specialises in auto insurance coverage, has invested $1.2 million in automobile service and restore platform Pitstop as a part of its technique to enhance buyer engagement and smoothen the declare settlement course of.
Acko cofounder Ruchi Deepak advised ET that the strategic funding is first in line of different deliberate tieups, because the four-year- outdated firm makes an attempt to create a full stack on-line automobile possession platform.
“We are trying to seize two vital pillars of the automobile possession ecosystem – the first-hand automobile market and auto insurance coverage,” mentioned Deepak. “The tieup with Pitstop will assist us strengthen our claims course of, whereas additionally enabling us to supply upkeep providers to the AckoDrive prospects.”
AckoDrive is the Narayan Murthy-backed insurers’ on-line automobile distribution enterprise which was launched final 12 months. Deepak mentioned the funding in Pitstop will speed up Acko’s declare servicing functionality and its potential to supply restore and supply providers.
Pitstop, based in 2015, is an automotive aftermarket expertise platform with operations in 9 cities throughout the nation. With the tieup with Acko, Pitstop will begin offering restore and upkeep providers for Acko prospects in Bengaluru, Mumbai, Delhi and Pune, with plans to scale to over 20 cities.
“Having Acko as our strategic investor and accomplice will assist us scale operations and permit us to unlock alternatives within the automobile restore and repair market by aligning our assets,” mentioned Mihir Mohan, founder Pitstop.
Deepak additionally mentioned that the corporate has been seeing elevated traction for insurance coverage over the past two months as gross sales have picked up. Nonetheless, its different portfolios, resembling journey and microinsurance tieups with ride-hailing platforms, have remained subdued because the coronavirus outbreak.
Acko, which can also be foraying into medical insurance, has seen elevated demand for medical cowl. As per the newest knowledge from insurance coverage regulator IRDAI, Acko has underwritten premiums value Rs 110 crore in FY21 as much as August, which is 10% decrease from the year-ago interval.