Swedish insurtech company BIMA, which brings mobile microinsurance to underserved families in emerging markets, has raised $16.8 million. The round was led by Axiata Digital, the digital services arm of Axiata Group. Also participating in the round were existing investors Kinnevik, Milicom (Tigo), LeapFrog Investments and Digicel. The company has raised $75 million to date.
BIMA aims to provide affordable insurance and mobile health services to low-income families. Most of the company's customers live on less than $10 per day. The explosion of mobile phone use in recent years has created an opportunity to provide mobile microinsurance to those who previously had no access to insurance.
The Axiata Group is one of Asia's largest telecommunications comanies, with over 320 customers in 10 countries. BIMA and Axiata work together to use mobile technology to provide insurance services that would otherwise be inaccessible to many in the region. Approximately 3 million Axiata customers were covered by mobile insurance policies at the end of 2016.
“As a long-term partner, we recognise the strength of BIMA's technology and model, and have seen its growth trajectory," said Mohd Khairil Abdullah, CEO of Axiata Digital in a statement. "Our shared commitment to innovation is a key driver behind Axiata Digital’s investment.”
“Alongside product development, we will prioritise geographic expansion through new local partnerships that will bring these life-changing services to millions of families across Asia,” added Abdullah.
“Axiata’s investment in BIMA brings together two of the leading names in digital financial services in a move that will define the future of the industry. This investment will fuel BIMA’s growth in Asia and continued dominance as the emerging market insurtech leader,” said Chris Bischoff, BIMA Chairman and Senior Investment Director at Kinnevik in a statement.
Read more: BIMA (Press release)