Greenlight Re invests in audit insurance start-up to fuel its overseas expansion
Greenlight Re Innovations (GRI), the insurtech unit of Cayman-based specialist property/casualty reinsurer Greenlight Re, has invested in an Australian audit insurance start-up to help expand its services to the wider international market.
GRI has made an investment in AuditCover Australia, a tax audit insurtech that provides financial protection against professional fees incurred from a tax audit or investigation undertaken by authorised regulators.
Greenlight highlighted that the process of obtaining an audit insurance policy is currently largely paper-based, labor-intensive and slow. AuditCover’s end-to-end digital audit insurance platform eliminates the friction by connecting directly to accountants' core systems, and streamlining the quote and bind process to provide instant coverage to taxpayers for audit-driven professional fees they incur. AuditCover also automates the marketing function for partners in accounting firms and helps them retain and strengthen their client relationships.
The company is currently offering audit insurance policies in Australia and has plans to expand internationally in the near future.
Simon Burton (pictured), chief executive officer at Greenlight Re, said: "In many nations, growth in the gig economy and digital assets has caused increases in the complexity of tax returns and the frequency of tax audits. We believe that by leveraging advancements in technology, AuditCover is well-positioned to service this expanding market and provide a superior experience for all parties involved."
Gil Snir, founder and chief executive officer at AuditCover, said: “We’re living in an era where the tax office has edged far ahead of the free market in terms of data-matching capabilities. AuditCover is on a mission to even the playing field by accessing the real-time data feeds that will determine greater risk accuracy and prevent the severity of an audit in the first instance.
“This is a global challenge faced by most developed nations and we're excited to have strategic capital partners Greenlight Re on our journey. Their global footprint and innovative approach to reinsurance are well aligned with our vision for the company and the broader insurance landscape.”
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