XL Innovate leads $17m financing for AI-driven Cape Analytics
Property data analytics provider Cape Analytics has raised $17 million in new financing, led by re/insurer XL Catlin-backed insurtech venture fund XL Innovate.
The fresh round of funding will be used by Cape Analytics to expand its sales and AI-centric product development teams. The company said in the future it will also look at expanding its footprint to new geographies and other applications within the insurance vertical, where significant opportunity exists to improve data quality being used by insurers to make critical decisions about their business.
Cape Analytics uses computer vision and machine learning to turn current geospatial imagery into an accurate structured database of property information in the US. Insurers can access data on over 70 million buildings across the country, allowing them to instantly pull property information at the time of quote, choose better risks, and price policies more accurately. Data from Cape Analytics also accelerates the home insurance application process for consumers, powering accurate online quotes with fewer time-consuming questions, the company claims.
As part of the latest financing round, XL Innovate partner Martha Notaras will join the company’s board of directors.
“I’ve seen a number of large-scale business success stories that were contingent on strategic inflection points within the insurance industry. Cape Analytics is presaging the next major shift in insurance, towards the use of AI and real-time analytics,” said Notaras. “I have observed over the last two years as Cape Analytics has delivered on their product vision and made a tangible impact on their customers’ bottom line. We are thrilled that XL Innovate has the opportunity to lead this financing and help Cape Analytics scale further.”
John Wilcox, chief strategy and ventures officer at The Hartford, added: “When we evaluate venture opportunities at The Hartford, we look for companies with distinctive capabilities, a forward-thinking, execution-focused management team, and the ability to add meaningful value to our core businesses. Cape Analytics checks all of these boxes, and we are excited to be an investor and partner of theirs.”
Ryan Kottenstette, CEO and co-founder of Cape Analytics, commented: “We had the privilege to choose the entities that invested in this round of funding. As such, we have deliberately prioritized forward-thinking customers who provide critical product insight and reflect our customer-driven philosophy. This funding also recognizes our leadership in the residential property intelligence space as the only provider of accurate, instant, and up-to-date property data.”
The funding round includes backing from The Hartford, Nephila, CSAA Insurance Group, The Cincinnati Insurance Company, and State Auto Labs Fund. These insurers join existing technology investors from current or prior rounds, including Formation 8, Data Collective, Khosla Ventures, Montage Ventures, Lux Capital, and Promus Ventures.
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