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Key people at Verak.
Verak was founded in 2020 by Rahul Mathur (Founder).
Verak is now part of InsuranceDekho as of April 2023.
Verak offered next day coverage starting at ₹8 per day for MSMEs in India to insure any facility (shop, warehouse, factory etc) against 15+ natural & man-made perils. (*)
Our team worked across the entire insurance value-chain: From satellite based underwriting to machine learning based pricing to instant quotation to WhatsApp based claims.
Verak was founded in 2020 by Rahul Mathur (Founder).
Key people at Verak.
Verak is an insurtech company focused on providing better business insurance solutions for MSMEs (Micro, Small, and Medium Enterprises) in India. It offers affordable, next-day insurance coverage starting at ₹8 per day, protecting various MSME facilities such as shops, warehouses, and factories against over 15 natural and man-made risks. Verak’s product leverages technology across the insurance value chain—from satellite-based underwriting and machine learning pricing to instant quotations and WhatsApp-based claims processing—making insurance accessible and convenient for traditionally underserved micro-businesses. The company has demonstrated strong growth with a 30% month-on-month premium increase and has brought thousands of small shopkeepers under insurance coverage for the first time[1][2][4].
For an investment firm perspective, Verak’s mission was to democratize insurance for India’s vast MSME sector, which comprises 63 million enterprises but has only 5% insurance penetration. The company’s investment philosophy centered on leveraging technology and partnerships with government insurers to scale affordable insurance rapidly. Key sectors served include retail shops, small factories, warehouses, and other blue-collar MSMEs. Verak’s impact on the startup ecosystem lies in pioneering tech-driven insurance distribution models tailored for micro-businesses, a segment often ignored by traditional insurers[2][4].
Founded in 2020 by Rahul Mathur, who previously worked at Laka Insurance and Accenture UK and had founded another YC-backed startup (BimaPe), Verak emerged from the recognition that India’s MSMEs lacked convenient, affordable insurance options. Rahul identified that most business insurance in India focused on mid-market and enterprise segments with service-oriented businesses, leaving blue-collar MSMEs underserved. The idea was to create a tech-first, partnership-led insurance platform that could serve small shops, cafes, factories, and similar businesses with quick, low-cost coverage. Early traction was strong, with Verak achieving rapid premium growth and becoming a notable name in the SME insurance landscape within just over a year of operations[1][2][4].
In April 2023, Verak was acquired by InsuranceDekho, a larger insurtech firm, to strengthen InsuranceDekho’s SME insurance vertical and expand offerings in the micro-business insurance space. The acquisition also onboarded Verak’s team and founder Rahul Mathur, signaling a strategic consolidation in the MSME insurance market[1][2][3][5].
Verak rides the insurtech wave focused on MSMEs in emerging markets, addressing a massive insurance gap in India where MSMEs contribute 27% of GDP but have only 5% insurance penetration. The timing is crucial as digital adoption among small businesses rises and government mandates push for greater insurance coverage. Market forces such as increasing risk awareness, regulatory support, and the growth of digital payment and communication platforms (like WhatsApp) favor Verak’s model. By pioneering tech-enabled, partnership-led insurance distribution for micro-businesses, Verak has influenced the broader ecosystem by demonstrating scalable models for insuring traditionally underserved segments, encouraging innovation in micro-insurance products and distribution[2][4].
Post-acquisition by InsuranceDekho, Verak’s technology and team are positioned to scale MSME insurance offerings more broadly across India, leveraging InsuranceDekho’s insurer relationships and infrastructure to overcome early-stage challenges like commission negotiation and API integration. Future trends shaping Verak’s journey include increasing digitization of MSMEs, regulatory pushes for higher insurance penetration, and growing demand for affordable, convenient insurance products. Verak’s influence is likely to evolve from a niche startup to a key enabler of MSME risk protection, potentially expanding into health and life insurance categories for micro-businesses under InsuranceDekho’s umbrella[3][5].
This trajectory ties back to Verak’s original mission of democratizing insurance for India’s vast and underserved MSME sector, transforming how micro-businesses manage risk through technology and partnerships.
