Riskcovry, an Insurtech startup, secures approximately $4.5 million in a bridge funding round spearheaded by Dubai's Morphosis Venture Capital, a B2B fund, with participation from Indian financial services entity IIFL. This funding includes a minor secondary segment that facilitated liquidity for select employees and provided an exit opportunity for initial investors. In venture capital terms, a bridge round signifies a smaller investment phase positioned between two significant funding rounds, assisting the company in progressing toward its predetermined financial objective.

Riskcovry plans to utilize recent funding to advance towards profitability and eventually conclude its series B fundraising round. Chiranth Patil, Co-Founder of Riskcovry, states, "With this interim funding, our goal is to achieve cash profitability, targeting a base of $25 million (approximately Rs 200 crore) in processed gross written premium per month. Upon reaching this milestone, we aim to pursue a robust Series B round". The startup aims to conclude the current fiscal year with revenues of Rs 30 crore, marking a fivefold increase from the previous year. In 2021, Riskcovry processed around Rs 1,500 crore in written premium, a significant surge from the approximately Rs 100 crore processed in 2021.

According to Tracxn data, the Mumbai-based startup, established in 2018, had raised approximately $6.8 million from investors like Omidyar Network India, Pentathlon Ventures, Bharat Innovation Fund, and others. The company provides a tech platform supporting the establishment of insurance distribution capabilities for enterprises. Riskcovry serves about 40 clients spanning banks, home finance companies, non-banking finance companies, startups, and original equipment manufacturers. Approximately 55% of these clients are currently active, while the rest are in the process of activation.

Patil highlights the startup's embedded insurance product, aiding companies in distributing insurance products and offering insurance against lending. He mentions that a significant portion of the company's revenue, over 80%, comes from a per-transaction revenue model, but an increasing number of customers are transitioning to a healthier API-based payment model. The revenue generation for Riskcovry primarily stems from a software-as-a-service model, successful insurance product purchases, and a model reliant on API calls initiated by the client.