Bima, a Swedish company that delivers insurance products over mobile in emerging markets, has raised $22 million in a fresh funding round from existing investors Kinnevik, LeapFrog Investments and Millicom, a telecommunications and media company. The Stockholm based Bima will use the funds to support its expansion into several new markets in Africa, Asia and Latin America.
Earlier this week, LeapFrog Investments invested $29 million in Chennai based NBFC IFMR Capital.
“African, Asian and Latin American economies have been transformed over the past decade by soaring mobile usage and the birth of mobile money. Yet, the mobile revolution for financial services in these markets is still at the start of its growth curve, and we are going to start to see insurance offerings enter the mainstream of the mobile telecommunications industry. Bima’s new capital injection will enable us to innovate, scale, and retain our place at the forefront of this movement for years to come,” the company’s CEO Gustaf Agartson said in a statement.
Launched in 2010, Bima provides insurance products to customers in eight markets, including Ghana, Senegal, Tanzania, Mauritius, Bangladesh, Sri Lanka, and Indonesia. It recently announced its entry into Latin America with the launch of operations in Honduras. Over the next six months, it anticipates tapping several new markets, including Cambodia, the Philippines, and Paraguay, as well as a number of other South Asian and African economies. The firm also anticipates new product launches and distribution opportunities in several of its markets in the near future.
“Bima has pioneered mobile micro-insurance in emerging markets. We are proud to have played a key role in Bima’s story so far – and look forward to continuing to support Bima and its management team in its next phase of growth,” Kinnevik CEO Mia Brunell Livfors said.
The company claims that its customer base is growing at a rate of 500,000 new policyholders per month. It employs around 1,000 people.