Pune-based healthcare and insurance startup Loop has raised $25 million in a Series B round co-led by General Catalyst and Elevation Capital, the company said on April 20.
The round also saw participation from Silicon Valley investor Vinod Khosla and Khosla Ventures, as well as a new investor, Optum Ventures. This round comes just six months after Loop raised a $12 million Series A round, bringing the total funds raised by the startup till date to $40 million.
Founded in 2018 by Mayank Kale, Ryan Singh, Amrit Singh, and Shami Raj, Loop provides group health insurance plans from insurers to companies, bundled with a virtual care experience. The company competes with players like Onsurity, Plum, among others.
The company said will use the fresh funds to drive sales growth, product development, and to grow its employee base which currently stands at 250.
Mayank Kale, Co-founder & CEO of Loop, said, “When we started Loop in 2018, it was to change how the healthcare system worked. We wanted it to be more preventive than reactive. We wanted to bring insurers and doctors on the same side for once, so that we create a health assurance model that is incentivized to keep people healthy.”
Loop offers complementary health benefits to companies who buy health insurance from them. Loop members get access to a dedicated family doctor, consultations with in-house specialists, and discounts on lab tests.
“Through our journey, we’ve also been able to bring back the concept of family doctors to India. There are around 130K+ families who have a dedicated family doctor from Loop,” Kale added.
The company said that it has witnessed a growth of over 30 percent month-on-month in FY22, and a 5x revenue growth from the previous financial year. Growth across insurtech companies has been led by the increased awareness about preventive care amid the pandemic, coupled with higher digital adoption in the country.
Mayank Khanduja of Elevation Capital said “Loop’s healthcare-first mission aligns deeply with our thesis that an outcome-focused solution is needed to crack an age-old market that sells insurance as a commodity. Since we co-led the Series A, the team has demonstrated this in plenty, growing 3X in three quarters.”
Loop has over 1.30 lakh members across members across 300 companies in India. Some of the company’s clients include NoBroker, Bilcare, NTEX Transportation Services, Bekart Industries, WOM India, Incred, Saregama, SITUS AMC, Everi India, Giesecke & Devrient MS India, 6Sense Insight India, Credence Resource, Vaibhav Global, and SKF India.