Loop, a Pune-based healthcare and insurance startup has raised $25 million in a Series B round co-led by General Catalyst and Elevation Capital (formerly Saif Partners).
The round also witnessed participation from leading Silicon Valley investor - Vinod Khosla and Khosla Ventures, Sierra Ventures as well as a new investor, Optum Ventures. The round comes six months after Loop raised a $12M Series A round, bringing the total funds raised by Loop till date to $40 million.
The startup plans to use the funds to drive sales growth, product development, and strategic hiring to scale-up the new health assurance delivery model.
Founded in 2018 by Mayank Kale, Ryan Singh, Amrit Singh, and Shami Raj, the startup provides group health insurance plans from prominent insurers to companies, bundled with an instant, virtual care experience.
Loop offers their health benefits complementary to companies buying insurance from them. Members can access a dedicated family doctor, unlimited consultations with Loop’s in-house specialists, and discounts on lab tests. During the second wave of the pandemic, Loop offered “home quarantine kits” to Covid-positive members who had to be isolated at home.
It has an in-house medical team and can extend preventive care, helping members manage chronic conditions like diabetes, hypertension, COPD, mental health issues, and more, it said.
The company has been growing at a clip of 30 per cent month-on-month providing insurance and health benefits to over 130,000 members, covering 300 corporates pan India. It has registered a 5x revenue growth from the previous financial year. The corporate team has grown from 50 to 250 and is currently operational in Pune, Mumbai, and Bengaluru.
Health assurance model
Mayank Kale, Co-founder & CEO, 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 incentivised to keep people healthy.”
“This level of primary care empowers people to put their family’s health on autopilot so that everyone lives a healthier life and catches diseases early,” said Kale.
“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. The founders have built a stellar team across tech, product, and business that’s looking to solve the hardest challenges in insurtech and healthtech,” said Mayank Khanduja at Elevation Capital.
Vinod Khosla, Founder, Khosla Ventures, said, “Care delivery in India has many pain points with conflicting incentives. Loop is changing the cost equation by allowing payers and providers to work together. Through its unique product and affordable pricing, Loop has a significant competitive advantage.”
Loop’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.