Insurtech Kin eyes up big expansion plans as Series D raise hits $109m
Direct-to-consumer homeowners insurtech Kin has upsized its Series D round to raise a total of $109 million to fuel its growth and expansion plans.
The insurtech has conducted a third close, an incremental $15 million, to its Series D round in the fourth quarter of 2022. The investment came from Geodesic Capital, QED Investors, and additional investors, bringing the total Series D funds raised to $109 million.
Since the first close of its Series D round in March 2022, Kin more than doubled its gross written premium while making gains in operational efficiency and driving toward profitability.
The additional funding, which was provided using the same terms and valuation as the initial investment, strengthens Kin’s liquidity position and provides the company with the capital needed to significantly expand its offerings and market share moving forward.
“Despite the tough market for high-growth companies right now, we’ve increased revenue 2.2x, improved each of our major operating metrics, and kept the same valuation. These are good outcomes, especially when other startups are accepting punishing terms or a valuation hit,” said Sean Harper (pictured), CEO of Kin. “We've been able to achieve these outcomes because the business has performed really well and we didn’t raise capital at the hype-driven multiples that many technology companies did in 2021.”
Kin’s premium renewal rate was 112% in 2022, and its cumulative customer lifetime value to customer acquisition cost ratio is 9.6x.
“Homeowners insurance distribution is an acyclical market and Kin’s unit economics, which have always been good, have only continued to improve,” said Jon Rezneck, partner and head of the investment team at Geodesic Capital. “We were pleased for the opportunity to continue to support Kin by putting additional capital to work, further powering their mission to simplify and personalize home insurance.”
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