US-based embedded insurance provider Cover Genius hauled in $A100m ($72.4m) yesterday in a series C round led by insurance firm Sompo Holdings.
Sompo contributed approximately $49.2m to the round, which also featured venture capital firm G Squared and undisclosed existing investors.
Founded in 2014, Cover Genius provides end-to-end embedded insurance products digital-focused companies can incorporate into their offerings. Its main products, XCover and XClaim, are a distribution platform for customisable insurance products and an application programming interface (API) for claims payment.
The funding will be used to expand the company’s business and grow in the property, travel, e-commerce, mobility, financial services and [business-to-business] segments. It has already added 20 new partners to its roster over the past six months and tripled its gross written premium.
Cover Genius raised $10m in a November 2019 series B round led by VC firm King River Capital with participation from Regal Funds Management, Marinya Capital, the Belfer Family and private investor Jasper Tans.
The company added $10.7m in an October 2020 round led by King River Capital that included debt financing from Leap Capital.
Angus McDonald, Cover Genius’s co-founder and CEO, said: “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.”
