VOOM, creators of innovative insurance products for underserved mobility segments, announced $15 million in funding today to expand its usage-based insurance model to additional mobility verticals. The funding round was co-led by JAL Ventures and UP.Partners, with the participation of F2 Capital, Arbor Ventures, Verizon Ventures, and ICON Continuity Fund and brings VOOM’s total funding to $22 million.
Already the category leader for drones with tens of thousands of policies, VOOM launched the world’s first Per-Mile insurance product for motorcycles in August and is expanding to offer usage-based insurance solutions for light aircraft, leisure vehicles and gig drivers.
VOOM identifies areas of mobility that are underserved by most insurers and rolls out insurance solutions that rely on new sources of data and actual customer usage. This allows the company to offer far fairer rates than traditional insurance companies whose risk models are built on data like homeownership, credit score and zip code.
“The first wave of insurtech startups improved the way insurance companies engaged with their customers. VOOM, as an ‘insurtech 2.0’ pioneer, is fundamentally changing the risk model itself,” said Tomer Kashi, co-founder and CEO of VOOM. “Our expertise is in areas of mobility where the risk is high but the usage is irregular or seasonal. We apply advanced analytics to provide dynamically-priced usage-based insurance products that our customers love.”
“The mobility industry is evolving extremely quickly, but traditional insurance providers do not,” said Ben Marcus, co-founder and managing partner at UP.Partners. “In order to serve the most innovative mobility segments, VOOM has established its own end-to-end insurance software stack which has now been proven with great success. We are excited to join VOOM on their journey as they expand their business to additional mobility verticals.”
“We have met numerous insurtech companies in the last 12 months, but the VOOM team stood out. They have a winning combination of flawless execution and a clear vision for how to disrupt the mobility insurance market,” said Yair Elbaz, general partner at JAL Ventures. “Insurance is a $6 trillion global industry with insurtech making up less than 1% of that. VOOM is churning out innovative insurance products and that will markedly expand the insurtech share of the insurance industry.”
