Insurance start-ups set new record

Venture funding for insurance and insurtech companies hit record numbers last year, according to a new report. Crunchbase’s report found that US insurance and insurtech start-ups raised just over $2.5 billion in 2018 – more than double the amount raised in 2017. 2018 also saw the total global investment amount hit nearly $4 billion. In the US, almost 50 insurance or insurtech companies raised rounds of over $10 million in 2018, Crunchbase noted. Some of the largest global funding recipients in the region for that year included (in order of funding raised in a round) Cambridge Mobile Telematics ($500 million venture round), Oscar Health ($375 million corporate round), Bright Health ($200 million Series C), Wefox Group ($125 million Series B), Root Insurance ($100 million Series D), and Metromile ($90 million Series E). Crunchbase previously identified 13 insurance companies that are active in start-up investment; the top five insurers and/or insurance investment arms on the list were: American Family Ventures, AXA Venture Partners, MassMutual Ventures, Munich Re/HSB Ventures, and Allianz X. According to the report, these investors have become increasingly active, particularly over the last year.