For millions of families in Bangladesh, a medical emergency represents not only a health crisis but an immediate financial shock. An accident, a serious illness or an unexpected surgery can wipe out years of savings in a matter of days.
In many cases, a single unforeseen event pushes an entire family into a cycle of debt: land or livelihood assets are sold, children are pulled out of school or families fall into the grip of informal moneylenders charging exorbitant interest.
Despite this very real and widespread risk, a large portion of Bangladesh’s population still remains outside any form of insurance protection.
A country largely outside insurance coverage
Compared with many other Asian countries, insurance usage in Bangladesh remains strikingly low. The insurance sector contributes only around 0.5 per cent of the country’s gross domestic product. Research suggests that out of a population of more than 170 million, only around 18 to 19 million people have any form of insurance coverage. This leaves the vast majority of households completely exposed to sudden financial shocks.
Public reluctance towards insurance is not a new phenomenon. For most people, insurance has long been associated with complicated rules, unclear language, excessive paperwork and a service that often creates more problems than it solves at the moment it is needed most. As a result, insurance has remained beyond the reach of ordinary people for decades.
Chhaya seeks to change the story
Against this familiar backdrop, a Bangladeshi startup, Chhaya Technologies Limited, has stepped forward with the ambition to change the narrative. Operating in a traditional and slow-moving sector, Chhaya’s rapid rise to both national and international recognition is a notable achievement.
Yet Chhaya’s story is not merely about building a successful startup. It represents a broader attempt to reshape how ordinary people think about risk, security and financial protection.
The idea for Chhaya emerged directly from a clear and painful gap in the market. The founders witnessed firsthand how a single medical issue could devastate a family financially. In some cases, families were forced to sell a rickshaw or a small piece of land that formed their only source of income. In others, essential medical treatment was delayed or avoided altogether because of cost. What they observed was a Bangladesh where those who most needed financial protection were often the ones excluded from it.
‘Insurance for everyone’ as a guiding principle
This realisation became the driving force behind Chhaya’s mission: insurance for everyone. The aim was not to serve only the wealthy or the urban elite, but to make insurance accessible to low-income rural families, peri-urban communities, small business owners, freelancers and even salaried urban workers who had long been deterred by high costs and complexity.
To achieve this, Chhaya had to dismantle traditional insurance assumptions and build an entirely new, technology-driven and user-friendly model from the ground up.
A fully digital microinsurance platform
Chhaya operates as a digital microinsurance platform. Using a basic smartphone, customers can enrol, browse plans, pay premiums and submit claims when necessary. There is no need to visit an office, stand in long queues or deal with extensive paperwork. This simplicity lies at the heart of Chhaya’s strength: a model designed for the realities of everyday life in Bangladesh, where both time and money carry significant value.
Focusing on underserved and previously uninsured communities
One of Chhaya’s core pillars is its focus on people with limited income. The platform targets low-income workers, freelance workers, small business owners and rural families who have never previously been covered by insurance.
At the same time, the model has also proven effective for lower- and middle-income groups in towns and cities. Many young professionals and salaried employees are now accessing insurance for the first time through Chhaya, having found traditional options either unaffordable or too complex.
Low-cost and flexible premium structures
Through research, Chhaya’s founders identified that paying a large annual premium upfront was unrealistic for many households. As a result, plans are designed to align with customers’ income patterns. Premiums can be paid in small amounts on a monthly or even weekly basis.
Subscription-based auto-renewal through mobile wallets such as bKash has made it easier for families to manage regular expenses. Insurance, once seen as an unaffordable luxury, becomes a small and controlled part of a household’s monthly budget.
A mobile-first, paperless process
Bangladesh’s widespread smartphone usage has been a key enabler for Chhaya. Its app is designed to be easy to use and functional even on low-cost devices and limited data connections. The claims process follows the same principle: users can simply upload photos of prescriptions or medical bills to initiate a claim.
This mobile-centric approach ensures round-the-clock access while significantly reducing operational costs. Lower overheads, in turn, make it possible to offer insurance at lower prices.
Clear communication in simple language
Another defining feature of Chhaya is its approach to communication. Instead of the dense jargon and complex conditions common in the insurance industry, Chhaya communicates in clear, simple Bengali. What is covered, what is not covered and how support can be accessed are all explained transparently.
This clarity plays a critical role in rebuilding trust that has been eroded over years of opaque practices across the sector.
Products designed for everyday life
Chhaya’s offerings go beyond standard health insurance. Its products are shaped by everyday realities: income-loss and accident coverage for delivery riders, combined inventory protection and personal health coverage for small tea stall owners and expanding options tailored to migrant workers and urban communities.
The broader aim is to create an integrated protection system that works across social and economic groups.
International recognition and early investment
This blend of technology and social purpose quickly attracted international attention. Being selected for Singapore-based accelerator Accelerating Asia marked a major milestone. Chhaya was later chosen for programmes run by Iterative and Orbit, both highly selective international accelerators that accept fewer than two per cent of applicants.
At home, early investment from Dekko ISHO Venture Capital (DIVC) played a crucial role in supporting technology development and building credibility. This backing was particularly significant at a time when insurtech investment in Bangladesh remained limited.
Bangladesh on the global stage
Chhaya gained further visibility through participation in GITEX Global in Dubai and GITEX Asia in Singapore. In 2025, at GITEX Asia in Singapore, Chhaya won the Supernova Challenge, outperforming competitors from three continents. The win marked a proud moment for Bangladesh and demonstrated that the country is not merely participating in global innovation in financial inclusion, but helping to lead it.
Impact on people’s lives as the greatest achievement
Beyond awards and recognition, Chhaya’s most meaningful achievement lies in its real-world impact. Thousands of families now have insurance coverage for the first time. Through partnerships with hospitals and diagnostic centres, customers receive discounts on consultations, tests and treatments, helping reduce everyday healthcare expenses.
Many users describe a newfound sense of confidence, knowing they are no longer alone in moments of crisis.
Looking ahead
Chhaya now aims to build a comprehensive wellness and inclusive insurance ecosystem. Plans include developing new products for families, small businesses and rural communities, strengthening healthcare partnerships and expanding reach across the country.
As Bangladesh’s insurance sector is expected to grow rapidly in the coming years, Chhaya seeks to position itself at the centre of this transformation, reinforcing the idea that insurance can be simple, affordable and genuinely accessible to all.
In a country where a single financial shock can leave millions helpless, Chhaya is quietly building a safety net that many never believed they could afford. Its journey from a local idea to global recognition serves as a reminder that when problems are real and solutions are sincere, meaningful change becomes inevitable.