Insurtech Openly secures $40m investment led by Advance Venture Partners
Openly, the technology-enabled provider of premium homeowners insurance, has closed a $40 million Series B investment round.
The Series B funding follows just six months after Openly’s Series A. The round is led by Advance Venture Partners, with participation from return investors, including Gradient Ventures, Obvious Ventures, PJC, and Greenlight Re. This current round of fundraising brings the total investment in Openly to over $62 million.
Founded by insurance industry veterans Ty Harris and Matt Wielbut, Openly uses next-generation data and technology to offer straightforward, customer-friendly home insurance policies.
Given the complex nature of most policies and the sensitivity around protecting one’s home, nearly 50% of Americans buy their home insurance through an independent agent. Openly sells its policies exclusively through these agents.
Openly’s product benefits consumers and independent home insurance agents alike. It provides consumers with more comprehensive coverage and top-notch service. At the same time, independent agents benefit from the ability to generate fully underwritten policies in seconds, giving them back precious time to customize coverage to meet each consumer’s needs, rather than tediously entering data.
Openly’s rapid adoption is a testament to this focus on excellence and customer experience. Openly launched in late 2019 and already has over 3,000 independent agents offering its product to consumers. Openly’s sales to date outpace most direct-to-consumer rivals at a similar stage, and Openly expects continued rapid growth through 2021 and beyond.
“We at Openly recognize the massive opportunity that exists to challenge incumbents and improve insurance,” said Ty Harris, CEO and Co-Founder of Openly. “We used modern technology to re-build core aspects of how an insurance product works. Then, we handed our improved product to independent agents because they know what real improvement looks like.
“The reception has been phenomenal. We’ve spent very little on marketing and yet seen sales just take off. That’s because our product -- the insurance itself, the technology, and the human experience -- has proven to be fundamentally superior.”
Courtney Robinson, founding partner at Advance Venture Partners, added: “I first encountered Openly as I was shopping for home insurance personally and was struck by the simplicity and breadth of coverage, compared to alternatives offered by traditional insurers. When we met Ty and Matt shortly thereafter, it was immediately evident that they had a clear vision for reimagining insurance, with a new approach to underwriting, modern interface, and customer-friendly terms. The team’s deep domain expertise, combined with their agent distribution strategy and rapid month-over-month growth, led AVP to preempt the Series B financing. We at AVP are thrilled to partner with Ty and Matt and excited to be a part of what’s to come.”
