3 Things – wefox, Stable & CB Insights Report – 07/15/2022

Hello Friends!  Another week in insurance has passed.  We are following wefox closing a funding round, Stable launching rideshare cover and the CB Insights ‘State of Venture’ report for Q2:


wefox Funding Round

Germany-based insurtech startup wefox closed a $400M funding round this week giving them a valuation of $4.5M.  They have have an agency distribution model and claim to make insurance ’10 times better through technology’.  They will use the funds for product development and geographic expansion.  We should expect to see them enter the US at some point in the coming year.  Their timing could be good for US entry if they can be patient and wait for a strong capital footing and develop an underwriting experience to fare better on loss ratio than other digital insurtechs have so far.


Stable Launches 

Stable Insurance, an insurtech targeting rideshare drives launches their first product.  In addition to these unique rideshare coverages, they have technology tools to help drivers with managing their business.  They have raised funds and will probably be able to raise more as they grow and expand.  This may be a tough business but there is certainly opportunity as the gig economy grows and replaces more of the traditional job market.  Certainly auto insurance is going to change and the players are starting to position themselves to take advantage.


Venture Report Q2 ’22

CB Insights released a State of Venture report for Q2 this week.  Download is required and you will get lots of emails from them but their insights are good to monitor.  They do not focus on insurance but much of their research is relevant to our industry.  Among the many nuggets of information from this report are consistent with what we have seen happening in the insurtech space so far this year.  Unicorns births are dropping off, making ones that are being born more unique and noteworthy.  Funding is slowing down and SPACs are falling out of favor.  The market has turned conservative and seems to be favoring the prepared and methodical startups that are slowly creating value and differentiated themselves with unique value propositions.

Thank you for following us, we appreciate your feedback and continued support.  Stay tuned for more info to come.  Until next time… stay safe, stay productive!