Bengaluru, October 6, 2021: Employee benefits and insurtech platform Pazcare on Wednesday announced that it raised $3.5 million (INR 25 crore) as part of its seed round led by BEENEXT, along with 3one4 Capital, and other investors. The round also witnessed the participation of angel investors, including Kunal Shah (CRED), Ashneer Grover (BharatPe), Aprameya R (Koo), Zishaan Hayath (Toppr), and existing investors Ashish Hemrajani (BookMyShow) and Haresh Chawla(True North), among other marquee investors.
Founded in 2020 by Sanchit Malik and Manish Mishra in Bengaluru, Pazcare is redefining the way employee benefits are managed in India. It enables real-time management of employee benefits and streamlines them in one place. For Pazcare, which is growing 100% month-on-month, these funds will help propel their growth among new categories of customers, accelerating product development and hiring across all functions.
India has over 1 million employers looking to provide benefits such as group term life insurance, health insurance, doctor consultations, accident coverage and other health & financial benefits to their 100 million+ employees. The employee benefits market in the country is a multi-billion dollar industry growing 18% year-on-year. Most employers in the ecosystem are looking for a novel solution to reform legacy issues pertaining to policy & claims management and having to liaise with multiple vendors.
“Through our world-class tech platform, we are trying to create a real-time user experience, which makes it extremely easy for the employer as well as the employee in personalising and managing their benefits. Over the next three years, we aim to be a leading full-stack employee benefits marketplace and platform that touches the lives of over 3 million employees,” said Sanchit Malik, the co-founder and CEO of Pazcare.
“We are glad to collaborate with Sanchit and Manish, second-time founders who are disrupting the fragmented employee benefits space in India in terms of ease of use. We are excited to partner with Pazcare and its global applicability as they demonstrate success with their customers with high NPS,” said Dirk Van Quaquebeke, Managing Partner at BEENEXT.
“Sanchit and Manish have a very product-led, unique take on how employee benefits need to be managed and delivered. They have shown amazing vision and product execution so far and we are incredibly excited to partner with them on their growth journey as they scale up this platform,” said Anurag Ramdasan, Partner, 3one4 Capital.
Within a span of just seven months, Pazcare has achieved significant growth and has already partnered with over 150 employers, including Betterplace, Vedantu, WazirX, Payback, Mamaearth, and Toppr etc., touching the lives of over 80,000 users currently. The company intends to onboard over 500 corporates over the next two quarters.
Pazcare provides employers and their employees with flexible and personalised benefits, thereby transforming the employer-employee relationship at scale. Among the host of benefits that Pazcare provides are benefits and insurance management, mental health solutions, virtual doctor consultations, comprehensive blood tests, etc. Pazcare’s employer dashboard and employee app make managing the benefits extremely convenient. Over the coming years, Pazcare also aims to widen its offerings beyond healthcare and be one-stop-shop for all kinds of employee benefits.
The current round of institutional seed investment in Pazcare comes close on the heels of a pre-seed round in June 2021, when the company raised undisclosed funding from angel investors and leading Indian entrepreneurs, including Ashish Hemrajani and Parikshit Dhar (BookMyShow), Haresh Chawla(True North) and Mohit Garg (MindTickle), some of whom have also doubled down on this round.