AAA Hedvig handles $45m in series B funding

Hedvig handles $45m in series B funding

Sweden-headquartered online insurer Hedvig has secured $45m of series B funding from investors including financial services firm Commerzbank and industrial product manufacturer Axel Johnson.

Venture capital firm Anthemis led the round, with contributions from Cherry Ventures, Obvious Ventures, Nineyards Equity and private investors Jonas Kamprad and Mathias Kamprad, while Commerzbank and Axel Johnson were represented by CommerzVentures and Novax respectively.

Hedvig operates a mobile-first platform where users can purchase homeowner and rental insurance policies. The company covers more than 70,000 customers across Scandinavia, most of which are under the age of 30.

Lucas Carlsén, Hedvig’s co-founder and chief executive, said: “We have created an insurance experience based on the younger generation’s on-demand expectations.

“Integrated in our home insurance is something we call “clumsiness” insurance. We have got your back, even if the damage was caused by your own blundering.”

The series B funding will enable Hedvig to speed up its European expansion, which includes plans to launch in a new market outside of the Nordic region in the coming months. It is also engaged in strategic partnerships with reinsurers Scor and Hannover Re.

The company said it had raised $23m in total prior to the series B round, including a $9m extension to its series A round from Axel Johnson’s D-Ax vehicle, CommerzVentures, Obvious Ventures and Cherry Ventures in October 2020.

D-Ax also participated in the $10.4m first tranche of the round, which was led by Obvious Ventures in August 2019 and backed by Cherry Ventures. It had received $3.4m in a 2018 seed round led by Cherry Ventures, which invested together with Khaled Helioui, Sophia Bendz, Sven Hagströmer and Nicklas Storåkers.