PasarPolis Announce Series B Funding, Book 796 Billion Rupiah Funds

Startups insurtech PasarPolis announced that it had closed its series B funding (oversubscribed). Overall, the total investment was recorded at $54 million or equivalent to 796,7 billion Rupiah. The investors involved in this round are LeapFrog Investments, SBI Investment, Alpha JWC Ventures, Intudo Ventures, and Xiaomi.

This investment is claimed to be the largest startup so far insurtech in the regional area. Previously, several startups offering insurance services also received substantial funding, for example, obtained by PolicyPal ($20 million) and CXA Group ($58 million) -- both based in Singapore.

Fresh funds will be used PasarPolis to support and accelerate business growth. This includes units outside Indonesia, namely in Thailand and Vietnam. The inclusion of LeapFrog is said to help speed things up PasarPolis in reaching new insurance consumers through its regional network. Meanwhile, together with Xiomi, the company wants to create insurance technology that is more accessible and holistic.

Last year 2018, PasarPolis accept series A pendanaan funding from Gojek, Tokopedia, and Traveloka with undisclosed value. Technology development artificial intelligence and big data became the main focus at that time, along with the expansion of partnerships and integration of services into several partner applications, including the three platforms that became investors.

"Their support (investors) is a huge validation of our positive impact on the industry and society," said Co-Founder & CEO PasarPolis Cleosen Randing.

One of Strategy the mainstay PasarPolis is partnership-based, currently there are at least 25 digital company partners who help sell insurance products. Since 2018, the company claims to have experienced an 80-fold growth in monthly policies issued. The company also claims to have had a 4-fold increase in the number of partners during the same period.

In his remarks Fernanda Lima as Partner of LeapFrog Investments said, "With 30 insurance companies and 25 digital partners, (PasarPolis) served more than 4 million new consumers in June 2020 [..] There is great potential for positive social impact. This is thanks to the written experience provided for novice buyers of insurance services using digital ecosystems, digital payments and mobile platforms."

In the report Insurtech Report 2020 released DSResearch disclosed, currently the insurance business supporting ecosystem in Indonesia is quite complete. In the digital realm, there are already several players. With a similar business model, PasarPolis has several direct competitors which can be seen in the chart below.