Vitraya is an Indian startup based in Mohali, a planned city established in 1975 to acts as an administrative and commercial hub. The city forms one of the six municipal corporations of the state of India. The firm uses blockchain technology to provide solutions in the Health insurance sector, the larges insurance industry in India. With blockchain technology providing immense power, the startup leverages the power to transform millions of individual data points to stored hubs that can be accessed anytime they are required. This implementation of the blockchain technology keeps patient and insurance data safe, secure and available to authentic parties within a millionth of a second. Vitraya leverages AI-enabled blockchain technology to achieve lightning speed data processing among other benefits like security. The firm has rolled out several case studies that help hospitals, patients and insurers lead a happy life while at the same time fine-tuning their model for optimum efficiency and effectiveness.
The firm has recently raised $5 million in a series A fundraising round that was led by StartupXseed, a B2B(Business to Business) venture capital fund. The funding round also garnered participation from Cactus, Season Two Ventures and Xceedance among others. With they new funds in place, Vitraya aims to hire more skilled employees to scale its global business development and integrate its existing technology into the Indian Health Insurance market. The Health Insurance sector in India is the largest Insurance industry in the country and accounts for RS 75 000 Crores in premiums and is currently growing at 25% annually. The Indian health insurance sector is crippled by high costs, fraud and errors with Health Insurers incurring RS 10 000 Crore in operating costs An additional RS 5000 and RS 10 000 Crore is lost to fraud and errors respectively.
According to reports, insurance in India is rapidly growing but still underpenetrated. This is partly due due to the fact that 95% of insurance operation in the country is carried out manually making them non-scalable. Deriving motivation from this, Vitraya’s founder Mrinal Sinha led a team of software developers to develop AI-based blockchain technology to streamline the sector. The developed solution is set to benefit insurance policy holders, insurers and health care providers immensely. First, policy holders will use the platform to avoid delays in settlements. Holders will get their money instantly with no courier and waiting time in between submission of their claims. The system will also calculate the exact approved claim amount the moment the claim is made.
Secondly, Vitraya will improve Insurers’ efficiency by leveraging their platform capabilities to detect fraud cases that emanate from excess and fraudulent claims as well as document forgery. The platform will also reduce administrative costs with the use of blockchain enabled document screening. Vitraya’s platform will also ensure cost compliance as as fees will be automatically applied and reduce the paperwork hussles as all operations will be taken online.
Healthcare providers can also utilize the platform improve their revenue cycle by lowering admin costs. The platform’s efficiency will also reduce patient frustration and keep the patients coming back happily. The health care providers will get their payments instantly upon settlement and shift to a paperless online platform. This type of efficiency will make the Indian Health Sector a gold mine considering it has a staggering population of 1.4 billion people requiring health insurance services.
Vitraya has scaled its operations to more than 4000 medium to large hospitals within a year of its launch and plans to scale up even more. Mr.Sinha noted that the world loses trillions of dollars in operation costs, errors and fraud in the health insurance market alone. To put this in perspective, the US alone incurs $350 billion in claim processing costs alone. The platform was therefore developed to connect insurers, hospitals, clinics and patients for faster and transparent claim settlement.
