Sompo leads A$100m funding round of ‘fastest-growing’ global insurtech
Re/insurer Sompo Holdings has invested in a fast-growing insurtech that it believes has a "disruptive approach to insurance". The investment will fuel the company's international expansion as it tripled its gross written (GWP) in six months.
Cover Genius, a global insurtech specialising in providing end-to-end embedded insurance, has raised A$100 million in Series C funding led by Sompo Holdings Asia, with participation from G Squared.
The funding will be used to expand its global insurance and warranty distribution platform XCover and support new e-commerce, property, travel, mobility, auto, B2B and financial services partners.
Cover Genius offers global capabilities to multiple industries, including property insurance for renters, landlords, homeowners and corporates, fintech and bank insurance programmes, among others. The company has partnered with a number of top-tier companies such as Swiss Re with which it developed a new parametric insurance product designed specifically for small businesses.
Commenting on its investment, Daniel Neo, chief executive officer of Sompo Asia, said: “Given that Cover Genius has been awarded as the number one fastest-growing global insurtech, according to the Financial Times, we are excited to partner with a frontrunner in the space whose technology is uniquely positioned for a global, platform-based economy.
“The company’s disruptive approach to insurance benefits both customers, who receive a seamless digital experience, and partners that can provide customers global, expandable insurance offerings with dynamic pricing and product recommendations.”
Larry Aschebrook, founder and managing partner of G Squared, added: “ Cover Genius’ impressive management team has built a global, multi-line insurance offering with what we believe to be unrivalled breadth. The company has partnered with a number of top-tier companies to utilize its insurance distribution platform and has demonstrated clear recurring revenue growth with those partners. We view the unique underwriting customization as a key differentiator and are delighted to support Cover Genius in this exciting next chapter.”
Angus McDonald (pictured), chief executive officer and co-founder of Cover Genius, commented: “With 70% of customers wanting embedded insurance integrated into their online experiences, our XCover distribution platform is helping some of the world’s largest global companies exceed their customer expectations of what insurance can be with a single API call. Our technology, licensed in more than 60 countries and all 50 US states, gives our partners the ability to protect their customers, regardless of location, currency or language. This strategic investment will help us expand our capabilities into markets equipped for new lines of distribution.”
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