Inzmo the Berlin headquartered insurtech transforming the laborious insurance process has closed a €3.1 million seed round led by Change Ventures.
Swiss insurance giant Helvetia who invested a single digital million amount in INZMO’s pre-seed round also participated and has increased its investment with this fundraise. The round brings the total amount raised by the company to €5.2 million.
INZMO’s mission is to eliminate the pain of the insurance process by offering a full-stack solution where everything from buying a policy to making a claim can be done in an instant. With its end-to-end solution, the startup is making the process simpler, quicker and more transparent.
According to the founders, traditional insurers are failing to appeal to the digital generation of customers who expect to manage their insurance needs in the same way they do their day to day lives - via their smartphones. Unlike the cumbersome services of traditional insurance providers that take weeks if not months to process a single insurance claim, INZMO’s full-stack automated solution means the claims process can be executed within the mobile app in a matter of hours - all without the customer even having to contact their insurance company.
What sets INZMO apart from the competition is its technology, which enables it to partner with a range of B2B and B2C channels. And through partnering with retailers and ecommerce channels, the company provides a seamless one-stop-shop where insurance products can be sold and serviced, claims managed, and all other processes executed.
“Our app eliminates the headache of managing the often complex insurance process by giving clients full and instant control. They can change policies, submit a claim, and receive up-to-date information. Meanwhile, our insurance partners can enjoy the benefit of INZMO’s comprehensive insurance back-office solution without having to invest in expensive development. Our technology also enables us to insure used property, giving us a larger reach in terms of customer base,” explains Meeri Rebane, co-founder, INZMO.
INZMO will use the funding to double its headcount, accelerate product development and to focus on new business. It will also add new products focused squarely on the household insurance sector including a rental deposit insurance offering aimed at the lucrative German rental market comprising 40 million private rental premises.
Instead of paying an upfront deposit, which in Berlin can amount to around €2,400 (the equivalent of three months’ average rent for a 1-2 bedroom apartment in the city), customers using INZMO will pay a more affordable monthly fee starting from €3.50. INZMO will be the first insurtech startup in Germany to launch a fully digital rental deposit guarantee service in a market currently dominated by traditional insurers.
“In these uncertain times consumers are paying more attention than ever to their financial affairs. With the average deposit for a 1-2 bed flat in Berlin at €2,400 and €3,000 in Munich – expensive deposits are a struggle for tenants. INZMO’s rental deposit insurance is a fraction of the full deposit and for those with restricted cash flow offers an attractive alternative and fairer financing option,” comments Risto Klausen, co-founder, INZMO.
INZMO will partner with property owners, agents and marketplaces to offer its rental deposit insurance. The product backed by Société Générale will be available in the coming weeks for new and existing rental agreements. Those with existing monetary deposit arrangements will be able to easily switch.
“INZMO has already established a strong reputation in the insurtech space. It has built up a considerable client base for its bike and electronics insurance products and secured a number of impressive partnerships. With its full-stack tech and service platform already in place, we’re confident INZMO has what it takes to scale across new markets and industries, and become a leader in the rising insurtech sector ,” Rait Ojasaar, Investment Partner at Change Ventures, says.