In early April 2020, amid the global COVID-19 pandemic, Indian insurtech startup Acko laid off approximately 45 to 50 employees, representing about 9-10% of its then workforce of 480-500. The layoffs, primarily affecting operations and marketing roles, were part of broader cost-cutting measures to extend the company's financial runway during a period of economic uncertainty. Senior leadership also took voluntary salary reductions of 50-70%. CEO Varun Dua cited specific business lines being impacted with no near-term recovery in sight, necessitating team consolidation. Despite the insurtech sector being relatively resilient, the pandemic prompted Acko, a venture-backed startup, to rationalize its structure to weather the storm.
