CoverHound, the property and casualty (P&C) insurance platform for digital distribution, today announced it has raised a $58 million Series D funding round.
Global specialist insurer Hiscox led the round, with additional investors including leading insurance providers Chubb, Aflac Ventures and Japan-based MS&AD. CoverHound worked with Allen & Company LLC on the Series D, and the latest round brings the total capital raised since its launch in early 2010 to over $112 million.
Over the past eight years, CoverHound has successfully sold more than 200,000 policies and continues to deliver fast, accurate and actionable business and personal insurance options. CoverHound, via its subsidiary CyberPolicy™, helps small businesses compare, quote and buy cyber insurance online. Cyber insurance is a critical need for over 30 million small and medium-sized businesses operating in the US. CyberPolicy is committed to educating, serving and securing this critical demographic and recently released key industry findings, customer profiles and market predictions that demonstrate the rapid growth of the SMB cyber insurance market.
In addition to fueling the continued development of CyberPolicy, this funding round allows CoverHound to expand its offices beyond San Francisco and Westlake Village, California to Charlotte, North Carolina and drive the company’s international expansion efforts into Japan and other global markets.
The investment will also support CoverHound’s already strong branded partnership growth, with more well-known partnerships with banks, large insurers and technology providers already lined up for 2019. This past November, CyberPolicy began providing cyber insurance options through Progressive Insurance to provide more SMBs access to cyber insurance. In May of 2018, CoverHound partnered with Hiscox to offer cyber insurance via CyberPolicy.
Hiscox USA EVP of Small Business Insurance Kevin Kerridge said of their investment, “We are delighted to have this opportunity to work more closely with one of the few truly digital agencies that shares our passion for making material strides in the changing SMB landscape. CoverHound, as reflected more recently through its CyberPolicy brand, is leading the charge in providing a best-in-class digital cyber solution for businesses, and we are excited to be part of that both as a carrier and the lead investor in this funding round.”
CoverHound CEO Keith Moore said, “The future of digital insurance distribution will continually shift to more non-traditional insurance brands. CoverHound has built the leading P&C platform to enable any brand’s customers to easily quote, compare and buy personal, business and cyber insurance. In an industry that's been heating up with a flurry of new entrants, we feel blessed that we know exactly who we are and what we excel at. We have no desire to be an insurance carrier or an online search engine purely for price comparisons. CoverHound and CyberPolicy are digital, trusted advisors for curated choice for anyone needing personal or business insurance.”
Moore added, “We’re honored to have such legendary industry leaders from around the world supporting us in our latest funding round. As both a technology and insurance company, we’re in a unique position to empower trusted brands for the digital distribution of personal and business insurance.”