Curacel Secures $3M Seed Funding to Expand into North Africa

The infrastructure vendor will roll out new technology solutions designed to power the next generation of insurance experiences in Africa.

(Image credit: Shutterstock.)

Curacel (Lagos, Nigeria), an insurance infrastructure company that helps insurers and partners in Africa and other emerging markets increase the reach and functionality of insurance through cloud-based tools and APIs, reports that it has raised $3 million in seed funding to roll out new technology solutions designed to power the next generation of insurance experiences in Africa. The new funding will also support the company’s expansion into North Africa.

Henry Mascot, CEO and co-founder, Curacel.

“We are bullish on the potential of the right technology in the right places to close the protection gap across Africa and emerging markets,” comments Henry Mascot, CEO and co-founder, Curacel. “It is an exciting time for us as we secure the capital to deliver the vision and onboard the people who have built these technologies at scale in more mature markets, and we are looking forward to delivering more technology solutions to drive up insurance inclusion.”

The seed funding round included Tencent, AAF Management (invested in Sure, Flutterwave), Elefund (invested in Robinhood, Pie Insurance and Sure), Blue Point Capital Partners, Pioneer Fund, Olive Tree Capital and Y Combinator, as well as James Park (CEO of Fitbit), Olugbenga ‘GB’ Agboola (CEO of Flutterwave), Babs Ogundeyi (CEO of Kuda) and other strategic investors. Top executives from Covergenius, Zopper and Pie Insurance will also join Curacel’s advisory board as part of the round.

The combination of a fast-growing population, a rising middle class and increasing access to financial services across the continent means more Africans have the opportunity to experience a wider range of products and services, according to a statement from Curacel on its funding round. From buying cars to accessing accommodation, these experiences come with various risks and insurance companies play a huge role in making it easier to manage the risks and enjoy these experiences with confidence. However, with insurance penetration across the continent still under 3 percent, many Africans are having to take on these entirely by themselves.

At the same time, the paper-based approach and antiquated technology that powers many insurers’ processes is time-consuming, unduly expensive and prone to fraud and waste. Curacel notes that African insurers lose more than $12 billion per year to fraudulent, wasteful and abusive claims, which makes them understandably cautious and risk-averse with the customer they choose to serve.

Curacel says its services make it easier for insurers to distribute their products, automate their claims processes, and drive revenue growth by giving them easy-to-use technology solutions that have been specifically designed to drive up insurance inclusion on the continent. With Grow, Curacel’s embedded insurance product, more than 100 banks, fintechs, logistics companies and other tech-enabled companies, including ALAT (Nigeria’s first digital bank), Providus, PalmPay, Float, etc., and others are empowered to increase their recurring revenues by offering digital insurance products that are seamlessly embedded into their existing products and services, driving much-needed insurance penetration and customer loyalty.

Reducing Claims Cycle by More Than 70 Percent

Omar Darwazah, Managing Director and General Partner, AAF Management.

Prominent insurers, including AXA Mansard, Liberty Health, Old Mutual and Jubilee Heath also use Curacel’s technology to improve the efficiency and accuracy of their claims processes, the vendor says. The company’s AI-powered infrastructure means claims can be submitted and processed in real time, helping insurers to reduce their claims cycle by more than 70 percent and process up to 10x more claims.

Curacel reports that it has processed more than $100 million worth of claims, working with more than 20 insurers and more than 5,000 service providers in 8 countries across the continent. In 2022, Curacel says grew its transaction volume by 600 percent and increased its revenue by 500 percent. Starting with Egypt and Morocco, the new funding will enable the company to roll out its services in North Africa and deepen its presence in other parts of the continent.

“At less than 3 percent, the insurance penetration rate in Africa is one of the lowest in the world, presenting an incredible market opportunity for Henry and the team at Curacel to bridge that insurance gap,” comments Omar Darwazah, Managing Director and General Partner, AAF Management. “We are excited to participate in the company’s Seed round and join Curacel’s mission in building easy-to-use technology solutions for insurers to distribute their products on the continent.”

Serik Kaldykulov, General Partner, Elefund.

Relatively Untapped Market

“Africa remains a relatively untapped market when it comes to insurance and technology presents the best opportunity to reach new users and deliver excellent services,” says Serik Kaldykulov, General Partner, Elefund. “Curacel has built a suite of solutions and an impressive track record of success that makes us very excited to be supporting them on their mission to use technology to drive up insurance inclusion in Africa.”

Q&A: Tunde Salako, Founder of Africa InsurTech Rising

Q&A: Tunde Salako, Founder of Africa InsurTech Rising

Anthony R. O’Donnell // Anthony O'Donnell is Executive Editor of Insurance Innovation Reporter. For nearly two decades, he has been an observer and commentator on the use of information technology in the insurance industry, following industry trends and writing about the use of IT across all sectors of the insurance industry. He can be reached at or (503) 936-2803.

Leave a Comment