Earlier this month, Insurtech Insights ran a Linkedin poll asking whether the current, busy funding climate, which has seen a number of impressive investment rounds take place in recent weeks, is in a state of recovery.
The respondents showed a significant amount of optimism when asked the question: Is investment funding opening up for insurtech startups?
A positive 36% said the environment was definitely getting better, a further 38% opted to be more watchful, but agreed that ‘maybe’ the situation was improving, while only 27% said the space has not improved since the slump of 2023.
We’ve rounded up the latest funding event success stories, detailing which companies have hit the capital jackpot, who their investors are – and how they are planning to scale their insurtechs.
Honey Insurance
CEO: Richard Joffe
Raised: US$108 million
Lead investors: Gallatin Point Capital
Australian insurtech startup Honey Insurance, raised US$108 million in its Series A funding round, attracting investment from US venture capitalists.
Launched by entreprenuer and Honey Insurance CEO, Richard Joffe, who is known for his US-based ventures, Park Assist and Stella.ai.
Honey Insurance has rapidly captured approximately 1% of the Australian home insurance market. The startup distinguishes itself by offering what it terms “smart” insurance, leveraging Honey-branded sensors developed by US-based tech startup Notion. These sensors are designed to detect common issues leading to insurance claims, such as water leaks, open doors and windows, temperature fluctuations, and activated smoke alarms. To incentivize adoption, Honey Insurance provides the sensor kit free of charge along with premium discounts.
Healthee
CEO: Guy Benjamin
Raised: US$32 Million
Lead investors: Fin Capital, Glilot Capital Partners, and Group11, with strategic partner TriNet also participating in the investment
Healthcare navigation startup Healthee, formerly known as Insurights, successfully raised $32 million in its latest Series A funding round last month.
Established in 2019, Healthee, based in Israel, operates at the intersection of healthcare and technology. The startup harnesses the power of artificial intelligence (AI) to empower users in understanding their healthcare plans better. Through its platform, Healthee provides comprehensive answers to inquiries regarding coverage, treatment options, and benefits associated with existing healthcare plans.
Guy Benjamin, Healthee’s CEO, also commented, saying: “We believe that everyone deserves access to quality health services at a reasonable price. We are delighted to amplify our impact through Healthee’s cutting-edge technology, enhancing the lives of millions of employees across the United States by eliminating the challenges of finding affordable care.”
Vouch
CEO: Sam Hodges
Raised: US$25 million
Lead investors: Ribbit Capital
Vouch is a provider of business insurance services tailored for high-growth companies, and raised US$25 million as part of its Series C-1 funding round in April 2024.
The round, which was oversubscribed and led by insiders, follows a year of robust business performance for Vouch, highlighted by a 66% year-over-year revenue growth and favourable loss ratio outcomes.
Sam Hodges, Co-founder and CEO of Vouch, said, “2023 was a landmark year for Vouch, driven by our team’s dedication and our investors’ belief in our mission. I’m proud that we’re one of the few companies in our market that has achieved our goals despite industry headwinds, balancing pursuit of our big vision with strong business performance.”
Sweet Security
CEO: Dror Kashti
Raised: US$33 Million
Lead investors: Evolution Equity Partners, with participation from Munich Re Ventures and Glilot Capital Partners.
Sweet Security, an Israeli startup specialising in addressing cloud risks for companies, raised US$33 million in a Series A funding round in April 2024.
The insurtech uses innovative techniques such as “deep runtime analysis” to enhance the identification and mitigation of cloud-related risks. Sweet Security aims to accelerate its expansion efforts in the United States while also bolstering its platform capabilities. The company’s strategic focus on scaling up operations underscores its commitment to providing robust cloud security solutions tailored to the evolving needs of businesses in an increasingly digital landscape.
Dror Kashti, co-founder and CEO, Sweet Security, said: “At first, our broad vision for cloud runtime security was met with skepticism, but we trusted our experience because we have lived the pain our customers experience every
Agio Ratings
CEO: Ana De Sousa
Raised: US$4.6 Million
Lead investors: Superscrypt, with additional investments from Portage, MS&AD Ventures, and various angel investors from the insurance and asset management sectors
Agio Ratings, a London-based startup specialising in crypto risk analytics was founded in May 2022, offers risk intelligence solutions tailored to firms with digital asset exposure, enabling them to assess and manage risk more effectively.
Notably, Agio Ratings garnered attention in July 2022 by identifying FTX as one of the riskiest exchanges based on its predictive analytics.
“Digital asset investors deserve better, and increasingly capital allocators and regulators expect more,” said CEO Ana De Sousa. “We believe the digital asset industry is massively underserved when it comes to access to reliable risk data. TradFi investors can price risk with help from the large ratings agencies but digital asset investors have no such luck. We are excited to have the support of Superscrypt, Portage, and MS&AD Ventures as we work to become the world’s most trusted source of risk analysis for this ecosystem.”
Fijoya
CEO: Baruch Levy
Raised: US$8.3 Million
Lead investors: Venture-Creation fund of Team8
Raising US$8.3 million in its recent seed funding round, Fijoya is a specialised platform catering to health and wellness services tailored for employers.
The funding injection is earmarked to propel Fijoya’s insurtech capabilities, particularly focusing on addressing challenges within the $32 billion point solution vendor market. Positioned at the nexus of FinTech and healthcare, Fijoya’s comprehensive platform offers employers a streamlined approach to providing health benefits.
Baruch Levy, CEO and co-founder of Fijoya, said, “Employer-sponsored healthcare is at a breaking point, with unsustainable complexity and cost. Our goal is to make it easier for employers to deliver the best employee health experience – easy to offer, find, and pay for. A health experience that is flexible, diverse and personalised, just like the people they serve.”
SOSTENGO
CEO: Estuardo Escobar
Raised: US$3.8
Lead investors: People Fund and healthcare.com
Sostengo, a leading insurtech based in El Salvador, closed a financing round amounting to $3.8 million, aimed at fueling its user growth across Latin America.
Launched in 2021, Sostengo has emerged as a trailblazer in Central America’s insurance landscape, offering the region’s first 100% digital end-to-end solution. The company’s remarkable performance is underscored by its staggering 103% year-on-year growth in premiums sold, reflecting its robust expansion and increasing influence within the insurance sector.
Estuardo Escobar, CEO, said: “This new round of financing will not only allow us to continue growing in Central America, but also present our solution adapted to Hispanics in the United States, together with key investors and industry experts such as the founders of healthcare.com”
Empathy
CEO: Ron Gura
Raised: US$47 million
Lead investors: Index Ventures, General Catalyst, Entrée Capital, Latitude, and Brewer Lane, followed by Allianz, MassMutual Ventures, MetLife, New York Life Ventures, Securian Financial, and Sumitomo
Empathy, an insurtech revolutionising the approach to grief and loss, announced the successful closure of a US$47 million Series B funding round in April 2024. ,
The new funding will allow Empathy to expand by leaps and bounds, guaranteeing that it stays the course in this transformation to make loss and end-of-life issues less of an ordeal for all bereaved families.
This latest injection of capital brings Empathy’s total raised funds to an impressive $90 million, underscoring the growing recognition and support for the company’s innovative approach to family care.
“Dealing with the loss of a loved one is one of life’s most challenging moments, yet there has been a problematic gap in the traditional support systems and benefits that barely touches on what families need. Empathy continues to set new standards for supporting families through grief and loss,” said Ron Gura, Co-Founder and CEO of Empathy.
Coterie
CEO: David McFarland
Raised: US$27 million
Lead investors: Hiscox, Intact Ventures and Weatherford Capital.
Insurtech Coterie, which specialises in services for small businesses, raised US$27 million in its Series B round, which, according to reports, was considerably over-subscribed.
The recent, significant investment is poised to fuel Coterie’s growth and innovation in the insurtech sector, further enhancing its ability to serve small businesses with tailored insurance solutions.
David McFarland, CEO of Coterie Insurance said: “Having our innovative, game-changing approach acknowledged and endorsed by the broader industry is a clear demonstration that Coterie is bringing real value to ongoing industry challenges with novel and exciting solutions.”
Akad Seguros
CEO: Danilo Gamboa
Raised: US$22 million
Lead investors: Valor Capital Group and Across Capital along with Actyus, Endeavor Catalyst, and Endeavor Scale-Up Ventures
Leveraging artificial intelligence (AI) and machine learning technologies, Akad provides a range of business-to-business (B2B) insurance products and services, aiming to streamline processes and improve efficiency.
The insurtech also recently received approval from the Private Insurance Superintendence (SUSEP) to enter the personal insurance sector, a burgeoning market with a value surpassing R$60 billion. The company aims to expand its range of products and solutions for brokers and partners, focussing on the use of technology to enhance the quality of its services.
Founded in 2021 as a joint venture between Grupo GP and Cyberlabs, Akad has achieved significant milestones within a short period. By the end of 2023, the company reported issuing over 300,000 new policies and gross premiums exceeding $180 million.
Novidea
CEO: Roi Agababa
Raised: US$30 million
Lead investors: HarbourVest Partners, Battery Ventures, Cross Creek, Israel Growth Partners (IGP), KT Squared, and JAL Ventures
Cloud-based, data-driven enterprise insurance management platforms, Novidea raised an additional US$30 million from HarbourVest Partners in its recent Series C round – bringing the insurtech’s total investor capital to $120 million.
Over the past three years, Novidea has expanded its workforce across various global regions, including the UK, North America, and Europe, while also launching operations in Southeast Asia in late 2023.
Roi Agababa, CEO of Novidea, said: “The insurance sector is at a major inflection point, and we see significant growth potential as more organisations transition away from legacy technology in favour of innovative, modern solutions. With this investment, Novidea will have the resources we need to further refine our product, expand our operations into new territories, and explore the possibilities of making strategic acquisitions in this space.”
Summit
CEO: Josh Pillsbury
Raised: US$3.5 million
Lead investors: IA Capital Group, with notable participation from Harvest Ventures
Canadian insurance broker Summit, announced a Seed funding round of US$3.3 million earlier this month. Launched in 2022 by former APOLLO Insurance employees Davis Gilbert and Josh Pillsbury, Summit has rapidly emerged as a prominent national insurance brokerage and risk management firm.
Headquartered in Kelowna, British Columbia, Summit prides itself on pioneering the future of commercial insurance through innovative, technology-driven risk management and insurance solutions.
The brokerage’s operations span a wide array of industries, catering to diverse client needs. With a robust network comprising over 60 insurance partners, Summit claims to offer comprehensive coverage tailored to the specific requirements of its clientele.
Oka
CEO: Chris Slater
Raised: US$10 million
Lead investors: Aquiline Capital Partners, firstminute capital
Oka, a leading provider of carbon credit insurance, announced the successful completion of a $10 million funding round in April 2024.
According to reports, the raised capital will bolster Oka’s risk-based capital requirements and support its operational expansion as it continues to underwrite through its innovative Lloyd’s syndicate-in-a-box, Oka Syndicate 1922. With this infusion of capital, Oka is well-positioned to strengthen its presence in the insurance industry and drive sustainable growth in the carbon credit insurance sector.
Oka CEO Chris Slater commented on the raise, saying: “In a difficult market for venture funding and the VCM alike, we’re delighted by the vote of confidence in Oka. The capital committed by our brilliant investors and capital partners puts us one step closer to realizing our ambitious vision of insuring every carbon credit.”
Element
CEO: Dr Astrid Stange
Raised: US$53 million
Lead investors: Versorgungswerk der Zahnärztekammer Berlin K.d.ö.R. and Alma Mundi
Cloud-based German Insurtech startup ELEMENT raised $53 million following a 150% YoY growth in 2023. Launched in 2017, ELEMENT has swiftly established itself as a cloud-based insurtech company, holding a coveted license from the German Federal Financial Supervisory Authority (BaFin) as a direct insurer for non-life insurance. The company specialises in providing white-labeled insurance products to businesses, allowing them to market these products under their own brand.
To reach its goals, ELEMENT has decided to focus on its core strengths to boost efficiency and profits. This means putting more effort into the growing EU-wide MGA market, aiming to strengthen its position there. By emphasizing product and risk management, the company aims to offer customized insurance solutions to its partners. ELEMENT not only helps with product development and insurance capacity but also provides a digital platform for easy data exchange and analysis.
Dr Astrid Stange, CEO of ELEMENT “Our 2023 results have shown that our strategy is bearing fruit. We have exceeded our targets with a growth rate of 150% year-on-year to €50 million GWP, and we have stayed within our cost plan. Our solvency is secured for the long term with the financing. We see our growth trajectory continuing into 2024 with significant double-digit growth and continued expansion with partners in other EU countries.”
Sertis
CEO: Mark Gardella
Raised: US$3.2 million
Lead investors: JLL Spark Global Ventures, with notable participation from BrokerTech Ventures and InsurTech NY
Sertis, a Managing General Agent (MGA) specialising in property owner coverage, recently secured $3.2 million in funding. Launched in 2022, Sertis specialises in proprietary risk assessment technology, which leverages “millions of data points” gathered from a digital property management platform. This cutting-edge technology enables Sertis to provide precise risk assessment, leading to accurate pricing and coverage for its clients.
Currently operating in 34 states, Sertis offers a range of insurance products including multifamily property, general liability, and equipment breakdown coverage. Notably, all policies offered by Sertis are backed by Accelerant, adding an extra layer of security and trust for policyholders.
Mark Gardella, CEO of Sertis, said: “This funding round validates our innovation, strategic business model, and vision to deliver a stable and affordable multifamily insurance market and continue to strengthen our relationships with top brokers and independent agencies nationwide.”
IDfy
CEO: Ashok Hariharan
Raised: US$27 Million
Lead investors: Elev8 Venture Partners, KB Investment, and Tenacity Ventures
Mumbai-based insurtech IDfy specialises in identity verification and secured US$27 million in a recent funding round. Launched in 2011 by Ashok Hariharan and Vineet Jawa, IDfy aims to combat fraud and foster trust in digital interactions.
The fresh infusion of capital is earmarked for propelling IDfy’s expansion endeavours, with strategic plans aimed at broadening their service offerings and bolstering product development.
Hariharan, Co-founder and CEO, IDfy said, “Investment from Elev8 and Tenacity is a strong validation of our vision and capabilities. IDfy’s mission is to eliminate fraud and establish trust. The funds will fuel our expansion plans and product development, enabling us to serve even more businesses and unlock opportunities for trustworthy people and businesses.”
