Nigerian InsurTech startup ETAP, which aims to make it easier to buy car insurance and make claims, has raised $1.5m in pre-seed funding.
According to a report by Disrupt Africa, the round was led by Mobility 54, the venture capital arm of Toyota Tsusho and CFAO Group, with participation from Tangerine Insurance, Graph Ventures, Newmont and other angel investors.
The startup uses machine learning to build intelligent risk profiles that determine appropriate premiums for each driver, allowing them to achieve lower premiums by driving safely. Using advanced telematics, the driving experience is gamified to improve driving behaviour and drivers can earn Safe Driving Points that can be exchanged for shopping vouchers for the most in-demand retail outlets, fuel, cinema and concert tickets, and other experiences.
The funding will support the rollout of ETAP’s app, which allows drivers to buy insurance in 90 seconds, complete claims in three minutes or less, and get rewarded for good driving and avoiding accidents. The startup will also explore other opportunities to deliver insurance services for car owners in other countries across the continent.
Since launching in beta in November 2021, ETAP has insured more than 130,000 individual trips and over 500,000 kilometres in car journeys.
Ibraheem Babalola, CEO and founder of ETAP, said, “Just like any other digital service, we believe Nigerians should be able to buy and claim car insurance without having to “call a guy”. We also believe that rewarding good drivers can be a catalyst for better driving and making our roads safer.”
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