|
Hi Friends! We are back with another edition of our weekly post using the headlines from insurance to tell our story by bucketing them into major ongoing themes. This week, we see big themes continue including more new launches aimed at harnessing the opportunity in the wholesale and E&S market, insurtech funding continuing the momentum as AI players and others adding value are finding their way to significant rounds of investment to fuel their growth and ideas and partnerships continue to be a central theme as established insurers and reinsurers couple with innovative tech providers to target opportunities and niche risk particularly related to weather and other emerging risks. These stories seem familiar because they are but each has a bit of something new so read on as we dive in to the 3 things we learned. |
Everest Evolution, Pivix & ProRise New Entrants to Growing SegmentWhenever we think things might slow down, the E&S market continues to see new entries aimed at taking advantage of the growing segment. This week’s new ventures combine deep industry expertise with advanced technology, reflecting the themes we continue to see with new ventures. Everest Insurance has launched a new brand, Everest Evolution™, focused exclusively on U.S. wholesale customers. It will provide specialized products and services through U.S.-based Everest-affiliated insurers. The launch aligns with the company’s strategy to strengthen its E&S wholesale presence and will be introduced at the upcoming WSIA Annual Marketplace. Mike Miller, former president of Scottsdale Insurance, has launched Pivix Specialty Insurance Services, a new MGA. Pivix will focus on offering P&C coverage for specific markets through wholesale brokers. Miller and key executives from Nationwide bring extensive experience in E&S lines. They will combine underwriting expertise with advanced technology to serve wholesale agents more efficiently. Beat Capital Partners and former AIG executive Doug Karpp are teaming up to launch ProRise Insurance Services, a new MGA that will focus on providing specialized insurance solutions. The collaboration highlights the expertise of Beat Capital, known for starting MGAs, and Karpp, who brings years of industry experience, especially in AIG’s environmental insurance division. |
Akur8, Roots Automation Lead Funding NewsThe insurtech landscape continues to see significant investments in AI-powered platforms to enhance efficiency and innovation for insurers. These companies are helping to drive transformative solutions in the insurance industry. Akur8, an AI-driven insurance pricing platform, has raised $120 million in its Series C funding round, led by One Peak and Partners Group. This brings their total investment to $180 million. The funds will support product innovation, global expansion, and the development of new modules, including the Optim pricing strategy tool and Deploy rating engine. Roots Automation raised $22.2 million in Series B funding, led by Harbert Growth Partners, with participation from Liberty Mutual Strategic Ventures and others. The funds will fuel the growth of its AI-powered solutions, including the InsurGPT™ model, designed to process unstructured data in insurance. Roots Automation aims to enhance efficiency for insurance carriers, TPAs, and brokers by transforming data trapped in submissions and claims into actionable insights. Functional Finance has raised $20 million in a Series A funding round led by Walkabout Ventures, with participation from Munich Re Ventures. The funding will accelerate platform expansion and strategic hiring, following a 2,500% year-over-year surge in premium payment volume. The company’s platform automates financial operations for MGAs, insurers, and wholesalers, enhancing efficiency in invoicing, collections, and underwriting. The funds will also fuel product development and bolster customer success and operations teams. |
Partnerships Dot the Landscape, Powering the FuturePartnerships are an ongoing theme during this insurtech season. Entities are finding complementary partners who provide an opportunity to add more value together with each other or alongside a big-name, established, well-known insurance operation. In addition, weather-related innovations have momentum, focusing on finding ways to deal with climate change and the perils it is causing. Vanta and Vouch have partnered to offer embedded cybersecurity insurance within the Vanta platform, simplifying the process for businesses to secure cyber coverage. This integration allows Vanta customers to quickly purchase cyber insurance, streamlining compliance with SOC 2 requirements and protecting against cyber threats like data breaches and ransomware. The partnership removes the complexities of the traditional insurance buying process, making it more accessible and efficient for startups looking to strengthen their security posture. Swiss Re has expanded its partnership with mea platform by selecting its GenAI solution for global reinsurance and insurance operations. This collaboration builds on their existing partnership and will now focus on using GenAI to streamline complex data formats, such as Schedules of Value and Loss Runs, enhancing data processing efficiency. Swiss Re sees this as a key part of its digital transformation, aiming to optimize operations and drive innovation. KatRisk has unveiled a new Severe Convective Storm (SCS) model designed to enhance weather risk management. The model aims to revolutionize how insurers and businesses handle risks associated with severe weather events like hail, tornadoes, and windstorms. By incorporating cutting-edge technology and advanced analytics, the model provides more accurate risk assessments and offers better insights for managing weather-related claims. Vortex has increased its parametric hurricane insurance limit to $500,000, providing greater coverage for policyholders. The parametric solution offers rapid payouts based on predefined triggers, such as wind speeds, ensuring quicker financial relief following hurricanes. This product is tailored to help businesses and individuals better manage financial risks from hurricane damage without needing to wait for lengthy claims processes. |
|
Join us as we continue to explore the headlines and news shaping the insurance sector, and stay tuned for more insights on the unfolding narrative of our industry! Stay productive, stay safe and stay in touch! |