Nigerian Insurtech startup Casava raises $4m pre-seed to democratize insurance

Nigeria’s Insurtech Startup Casava has secured US$4 million in pre-seed funding to deliver affordable and accessible micro-insurance services for millions of Nigerians. 

The funding round, the largest pre-seed round for an African insurtech to date, was led by Target Global with participation from Entrée Capital, Oliver Jung, Tom Blomfield (Founder of Monzo) and Ed Robinson and Brandon Krieg (Founders of Stash). 

African founders such as Uche Pedro (Founder of BellaNaija), Babs Ogundeyi and Musty Mustapha (Founders of Kuda), Shola Akinlade (Co-founder of Paystack), Olugbenga “GB” Agboola (Co-founder of Flutterwave), Honey Ogundeyi (Founder of Edukoya), Opeyemi Awoyemi (Co-founder of Jobberman) and others also participated in the round.

What is Casava?

Casava is Nigeria’s first 100% Digital Insurance Company. The Insurtech Startup is also Nigeria’s first general and life microinsurance company licensed by the National Insurance Commission (NAICOM), registered in Nigeria and built for the future of insurance in Africa.

What You should know about Insurtech Startup Casava

Casava is led by Bode Pedro, a veteran entrepreneur that has built many successful companies, including Veda Technology, one of Nigeria’s premier computer hardware manufacturers. Segun Makinde, former VP at JPMorgan Chase and former Portfolio Manager for Nigeria at MEST Africa, is the company’s Chief Operating Officer. 

The startup launched in April 2021 and it has succeeded in gaining more than 66,000 customers, with $16 million in insurance coverage. Starting with income protection and health insurance.

The insurtech startup is leveraging artificial intelligence and behavioral science to deliver game-changing claims and benefits products. The new funds will support customer acquisition and growth, as well as further development of the product and the technology stack.

On the Casava platform, making a claim is hassle-free, instant and fully digital. Getting paid is also within 48hrs.

Only 1.9 percent of Nigeria’s adult population had one form of insurance policy as at 2018 (National Financial Inclusion Strategy Report);

As at today the NHIS (National Health Insurance Scheme) covers less than 10% of the Nigerian population. These are challenges Insurtech Startup like Casava is hoping to solve. 

The startup protects you and everything you love with one affordable, easy to use subscription. You also get a one-month free trial, insurance benefits and rewards.

What they are saying….

“Our mission is to provide affordable insurance for Nigerians and other Africans and we are happy to have raised these funds from an exciting group of investors, “ said Bode Pedro, founder and CEO of Casava, 

“With less than one per cent of the country insured, Nigeria (and Africa) is an untapped insurance market. We want to address the barriers that hinder adoption and add value to consumers across the country.” 

Avi Eyal, General Partner at Entrée Capital. 

“The Casava team has developed a unique and disruptive product that we believe has the potential to transform Africa’s insurance market,” 

“We are confident in the Casava team that they have what it takes to be leaders in this field.

Also commenting on the funding..

Dr Ricardo Schäfer, a partner at Target Global said Casava had recognised a great opportunity to address a longstanding problem for many Nigerians and Africans.

“We are excited to support their mission to make insurance more accessible. One of the first of their kind in the region, Casava has the potential to transform the lives and livelihood of millions of people,” he said.

What’s next for Casava..

The new funds will support customer acquisition and growth, as well as further development of the product and the technology stack. Casava already has more than 66,000 customers, with US$16 million in insurance coverage. 

With Casava Income Protection, subscribers can insure their income with an easy-to-use subscription that starts from as little as US$1 a month, and get paid monthly for six months if they lose their job, fall sick or become disabled. Subscribers can also add on Casava Health, which enables access to more than 1,000 doctors on telemedicine and 900 hospitals across Nigeria. 

Consumers can subscribe to Casava’s insurance products directly via the website, mobile app or WhatsApp. It will also be working with fintech and digital partners to embed insurance products into their offerings, accessing over 500,000 financial service agents to reach customers across the country. Casava will empower these agents to offer insurance and earn commissions from the customers from their customers on a recurring basis.  

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