AffordPlan, a Kalaari Capital-backed savings led platform for medical expenses, has raised $10 million (Rs 654 million) in Series B funding led by Lok Capital. Omidyar Network, alongside existing investors Prime Venture Partners and Kalaari Capital also participated in the round.
The Delhi-based start-up, which makes non-emergency expensive procedures such eye care, pregnancy, dental, plastic surgeries, orthopedic, affordable by partnering with hospitals, will be using the funding on deepening its supply chain and launching new financial services products.
On the fund-raise, Lok Capital cofounder Venky Natarajan said, “For the longest period, we have been looking for suitable financial products in the healthcare spectrum to mitigate the risks of patients and their families getting trapped into the vicious cycle of debt trap rising out of unmanageable health care expenses. We believe that AffordPlan will help solve this problem through their range of products over the next few years.”
In the absence of widespread adoption of health insurance by consumers, there is an acute and unmet need for affordable and quality healthcare, according to Kalaari Capital Managing Director Vani Kola, who says AffordPlan’s savings product makes quality health care more affordable to everyday Indians.
It allows consumers to decide how much to save on a daily, weekly, or monthly basis and then make regular payments at their convenience. Consumers also receive discounts on medical bills and diagnostic services when they use AffordPlan services, bringing the overall treatment costs down by 15-20 per cent.
The company, which has partnered with over 300 hospitals in the country and has reached more than 100,000 patients, is looking to hire more than 200 employees across India by the end of the year.