3 Things – Capital Infusion, Earnings & Insurtech Analysis – 02/11/2022

Greetings Friends.  This week we continue to follow topics we have been following so far this year as earnings season continues, capital is infused and insurtech investment is analyzed.  Here are the three things we learned:


Fresh Capital for State Farm Ventures & Topsail Re

$150M of fresh capital went into the industry this week.  State Farm Ventures funded an additional $100M to their venture arm doubling the fund to $200M.  To give prospective this puts them in between American Family ($165M) and Nationwide ($350M) but well behind a Munich Re ($1B).  It is still a substantial amount of money that will be targeted to private / venture based insurtech investments.  Meanwhile in reinsurance, Topsail Re raised $50M from existing investors.  They will reportedly use this for growth but could we see them follow other insurers into funding insurtech investments either through venture capital or reinsurance contracts?


Earnings from CNA, Arch & Everest

Lots of earnings to read through again this week some of the most interesting are.  CNA with big net income increases and improved combined ratios, big rate increases helped create these results.  Everest Re Group is showing growth and returns to investors.  There is a compelling growth story and they have adjusted their risk profile to be less cat-exposed.  Arch Capital published very strong results more than doubling their net income from one year ago.


Back By Popular Demand

Last week people seemed to enjoy our friend Ian’s post about the insurtech curtain falling so we have to provide a link to the Part II so you can understand the difference between candy corn and unicorns.  Another article of note from TechCrunch (subscription required) discusses how 2022 insurtech investment will surprise.

Thank you for following us, we appreciate your feedback and continued support.  Enjoy your Super Bowl!  Until next week… stay safe, stay productive!