An online insurance platform called ‘Next Insurance’ founded out of Palo Alto, California in 2016 has raised an astonishing $29 million dollars in a Series A round of funding led by Munich Re/HSB Ventures, Markel, and Nationwide, with participation from other existing investors.
The insurance platform, Next Insurance, that targets small and medium-sized businesses, is the latest insurance tech startup to utilize VC funding out of a very long lineup of other startups. Lemonade, a New-York based insurance company that raised $13 million dollars back in 2015 to fund their first round, Insurify, that was able to close on a $4.6 million dollar round for their auto insurance comparison bot, and most recently Trov, who closed on a $45 million dollar round are other insurance startups who have been successful with raising money.
Unlike infant insurance companies like that of Lemonade, which is fully licensed to issue its own policies to their customers, Next Insurance partners up with current insurance companies that actually issue the policies, and focuses more on packaging those pre existing policies on their technology platform.
Essentially, it boils down to a platform that Next Insurance has developed to create a direct link with small and medium sized business owners and focuses solely on niche industries.
This insurance platform that Next Insurance has developed is meant to tap into the small business insurance market that has been drastically overlooked and under thought of digitally. Next’s platform is able to overcome significant challenges by simplifying and expediting the insurance sign up and engagement process for the small business owner and channeling advanced data analytics to create policies that are tailored to the unique needs of different classes of business.
The news of this $29 million dollar fundraising today by Next Insurance comes more than a year after they were able to raise $13 million dollars before their company’s initial launch. Next Insurance says that with their millions of raised dollars in the bank, that they will be able to step up their game of extending their insurance products and expanding into new markets.
If you would like more information about new developments and technology in the insurance industry, please feel free to continue browsing through our website at Schwegel Insurance or you can go to our blog page. We can also be reached at (519) 576-2020 or by filling out our contact form.