Vitraya technologies raised USD 5 million in series A round led by B2B Venture Capital fund StartupXseed
India, 29th March 2023 –Mohali-based Vitraya Technologies, the world’s fastest claim settlement platform, raised USD 5 million from a Series A round led by B2B Venture Capital fund StartupXSeed. Apart from StartupXSeed, who led the round, it saw participation from big names like Season Two Ventures, Cactus, Xceedance and the family office of Mankind Pharma. The funds raised by Vitraya will be used for hiring skilled resources, global business development, and scaling existing products and technology. Mrinal Sinha, ex-COO of Mobiwik and Founder of Vitraya Technologies led an expert team to develop AI-based cutting-edge technology that underwrites and makes claims decisions within 1/millionth of a second, thus, ensuring that hospitals secure their cash settlements immediately from insurers upon discharge.
Health insurance, the largest segment in the Indian insurance market, accounts for Rs. 75K crores in premiums and is growing at 25% annually. Health insurers typically incur Rs. 10K crore in operating costs and lose an additional Rs. 5K to 10K crores to frauds and errors. Insurance in India is underpenetrated and is growing rapidly, but over 95% of the insurance, workflows are manually driven and are not scalable. Vitraya Technologies’ platform is a game changer with instant claim approval and real-time settlement, improved revenue cycle, zero delay in account receivables, and lower administration costs due to zero documentation and disallowance. This will help insurers streamline their work and help with scalability.
Commenting on securing the funds, Mrinal Sinha, CEO, of Vitraya Technologies, said, “Insurance claims are a global problem, and the health insurance market loses trillions of dollars to claim processing costs and fraud. The United States alone accounts for $350 Billion in claim processing costs. Having faced deep trouble with claim settlement, we developed the Vitraya platform to connect hospitals, insurers, clinics, and patients on a single platform facilitating faster claim settlements and payout, easy fraud detection, and reduced operational costs. We scaled to 4000 large and mid-size hospitals within 1 year from launch and are rapidly growing. StartupXseed’s Investment is a validation of our vision and will further open doors in the Indian healthcare and insurance ecosystem and help with global expansion.”
Ravi Thakur, the Co-founding partner at StartupXseed, commented, “Despite the rapid growth of insurance in India, customer orientation and empathy are sore points, particularly in health insurance. Vitraya’s revolutionary technology that settles claims within 1-millionth of a second transforms the health insurance customer experience. We have been tracking this space for some time and then decided to back Mrinal to lead the tech future of health insurance. With the tech proven in the Indian market, we look to expand to global markets.”
The AI-enabled blockchain technology used in the platform ensures the absolute security of the hospital, patient, and policy data. The platform secures all ends of the data in private blocks where the involved parties can interact safely and hassle-free. Today, this technology is being used by Indian health insurance leaders like STAR, Niva Bupa, CARE Health Insurance, and others.