Healspan, a Bengaluru-based Insurtech startup, has raised Rs 1.2 crore in a pre-seed funding round led by startup accelerator PedalStart.
This latest capital infusion brings the company’s total funding to Rs 1.7 crore, positioning it for significant growth in India’s competitive insurance technology sector, according to the announcement.
Founded in 2022 by Sabrinath U and Abhi Sinha, Healspan focuses on streamlining the insurance claims process for healthcare institutions.
The company’s technology promises to reduce insurance payment turnaround time by 30%, settling long-pending claims within 90 days, a significant improvement over traditional methods.
Healspan said its innovative approach has already led to a fourfold increase in revenue, indicating robust market demand for its services. With this new funding, the company plans to invest in technology infrastructure, talent acquisition, and business operations, aiming to expand its reach across India.
Presently, Healspan operates in several major Indian cities, including Bengaluru, Chennai, Hyderabad, Delhi-NCR, and Mumbai. The startup’s ambitious plans include expanding its services to at least 1,000 hospitals by the end of 2025, capitalizing on India’s rapidly growing healthcare sector.
“The funding will significantly boost our efforts to scale operations and extend our services to more healthcare providers across India,” stated a Healspan spokesperson.
The company underscores the transformative impact of its technology in simplifying insurance processes for both healthcare providers and patients.
PedalStart, the lead investor in Healspan’s funding round, expressed high expectations for the startup.
“We aim to onboard 2,000 founders into our community this fiscal year, with plans to invest in 20 to 30 startups and accelerate about 40,” said a co-founder of PedalStart.
This investment in Healspan aligns with PedalStart’s strategy of fostering innovative startups with high growth potential in the technology sector.