In a significant development for the insurtech landscape in Egypt, Amenli, a pioneering insurtech startup, has successfully closed a new equity funding round of $1 million. The round was led by Alter Global, a distinguished international venture capital (VC) firm focusing on emerging markets, represented in the region by Heba Ahmad. Also participating in the funding was Qatar Insurance Corporation’s corporate VC arm, Digital Venture Partners (DVP), a key player in the MENA region’s insurance sector.
Considering the $2.3 million raised in 2021 and the $125,000 from Y Combinator also in 2019, the Insurtech startup has so far raised $3.425 million since inception.
With Egypt’s insurance market currently operating at less than 1% penetration, Amenli aims to make insurance affordable and accessible to individuals, families, and small to medium-sized enterprises (SMEs). Their approach involves collaborating with insurance companies to streamline and expedite client claims processing.
The latest funding round signifies a significant step forward for Amenli’s vision. Allen Taylor, Partner at Alter Global, expressed excitement about their partnership with Amenli and their second investment in Egypt. Taylor stated, “We are impressed with Amenli’s vision to revolutionize Egypt’s largely underpenetrated insurance market, which currently stands at less than 1%. Amenli has built the technological infrastructure to create strong distribution and product innovation advantages, thereby enhancing the insurance experience for both individuals and SMEs alike.”
The fresh infusion of funds will empower Amenli to introduce new insurance products catering to both existing and new customer segments, addressing their previously unmet insurance needs. Additionally, Amenli will work on developing new distribution channels to maximize efficiency and reach. They plan to focus on the B2B2C space, leveraging their Insurance API, to cement their position as a trusted and innovative leader in the industry. This strategic move aligns with their vision for 2024.
Lars Gehrmann, Group Chief Digital Officer at Qatar Insurance Company (QIC), highlighted DVP’s commitment to fostering insurtech innovation in the MENA region. He expressed enthusiasm about empowering Amenli’s growth and innovative approach to insurance in Egypt and beyond.
This funding round comes at a pivotal time for Amenli, which has witnessed remarkable growth, surging fivefold compared to the same period last year. This growth is attributed to their relentless focus on product offerings and the efficiency gains achieved through their core platform technology. Amenli has also reported positive unit economics across their retail business, surpassing targeted gross profit margins by 100% in the first half of 2023. With such promising indicators, Amenli is now committed to expanding the business, achieving profitability, and generating positive cash flow.
Shady ElTohfa, CEO and Co-Founder of Amenli, underscored the significance of this strategic funding round. He stated, “This funding round is a substantial validator and a strong vote of confidence for Amenli, particularly amidst the current investment and economic environment.” ElTohfa emphasized the backing of prominent investors like Alter Global, QIC DVP, and Basil Al Moftah, all of whom possess extensive experience in the tech and insurance sectors globally and regionally. Their support reinforces Amenli’s belief in the strength of their vision and their plans for expansion and growth.
Othmane Bennis, Head of CVC at DVP, commended Amenli’s technological capabilities. He added, “Shady and team have demonstrated relentless execution capabilities in establishing a leading insurtech.” Bennis highlighted how Amenli, by leveraging technology and a digital-first model, is poised to rapidly expand insurance access across underserved markets, thereby driving financial inclusion and protection in the region.
As Amenli moves into its next phase, the focus remains on expanding the team, enhancing product offerings, and building a robust brand to deliver unmatched value to clients. Their dedication revolves around providing tailored insurance solutions, empowering clients through accessible payment options like BNPL (Buy Now, Pay Later), streamlining onboarding and KYC processes, and ensuring a seamless claims process.
