Coverfox Group, India’s largest insurtech group, announced the closure of their POS operations. The senior management has decided to keep the company’s focus anchored on technology-led insurance distribution. Over the last 12 months, Coverfox Group has pivoted its business model towards a tech-first approach. While servicing industry players with their tech stack, they have identified the technology gaps and focused on building tech products to strengthen the insurance industry and want to continue to do so.
Mr. Sanjib Jha, CEO and ED, Coverfox Group said that “Indian consumer market offers a huge potential for insurance but through experience, we have realized that investing in digital assets is the best way forward for us. Our technology is not only enabling us but also empowering our clients who are utilizing our tech solutions for digital insurance distribution.
Realizing our expertise in technology, insurtech has led us into growing sustainably. That said, the POS model has proved to be a highly competitive and saturated market as well as cash intensive, which is not suitable for us at the moment. Our focus being on the technology arm and digital standardization of insurance solutions, we wish to keep our resources and goals aligned to this vision.”
They have been providing insurtech solutions to more than 25 industry players in the last 2 years. ICICI Securities, Spinny, Car Trade are few of its existing clientele using their B2B product- Agent Stack. In line with this development, they are closing the on-ground ecosystem of the POS business, making a conscious choice to focus only on the technology, i.e., Coverdrive App will continue to function in its digital form as an insurance seller App.
Over the period of 10 years, Coverfox Insurance has provided insurance to over 3.65M+ customers and generated premiums of over Rs.1250 Cr till FY22. The group’s digital B2B, insurance infrastructure as a service-providing platform, Coverstack has recorded a 33% increase in growth in FY22.