Two new bryophilous agarics, Galerina indica and Rickenella indica, are described from Kerala State, India. Comprehensive descriptions, photographs, and comparisons with phenetically similar and phylogenetically related species are provided. Inferences of their phylogenetic relationships within the respective genera are provided based on the sequences of nuclear ribosomal internal transcribed spacer region. This forms the first record of the genus Rickenella from the entire tropics and the first report of a bryophilous Galerina from Kerala. Also, this is the first report of the association of the genera Galerina and Rickenella with the moss genera Leucobryum and Campylopus respectively.