(Margie Hunt designs for Metromile ads. Source: Metromile/Margie Hunt.)
Metromile, the San Francisco-based pioneer of telematics-based pay-per-mile auto insurance, has announced $191.5 million in funding which it says it will use to fuel growth initiatives, advance nationwide expansion and acquire an insurance carrier. Metromile says that the cash infusion will enable it underwrite its own policies and manage the entire claims process, providing customers a faster, more fair and seamless claims experience.
Intact Financial, CPIC, Index Ventures, New Enterprise Associates (NEA), First Round Capital, Mitsui, SV Angel, Metromile Founder and Chairman David Friedberg and well-known entrepreneur Mark Cuban participated in the company’s recent financing events, according to a Metromile statement. Series D funding closed for $103.1 million plus an additional strategic investment for $50 million from CPIC. In late 2014, Series C financing closed for $38.4 million. The total capital raised by Metromile is $205.5 million.
End-to-End Insurance Company
“Closing this financing round not only accelerates our nationwide expansion but allows Metromile to operate as an end-to-end insurance company which includes providing our customers a fully seamless claims experience,” comments Dan Preston, CEO, Metromile. “This foundation, coupled with our expertise in technology, will allow us to deliver exciting new features to our drivers that make car ownership easy, personal and affordable while providing an exceptional customer experience.”
Intact Financial Corporation’s goal in partnering with Metromile is to build a relationship that will allow both organizations to strengthen their core competencies in order to enhance the customer experience, according to Karim Hirji, Senior VP, International & Ventures, Intact Financial Corporation. “We look forward to this ongoing collaboration as Metromile redefines the marketplace with its unique business model, innovations and smart technology offerings.”
“Metromile is a proven leader in usage-based insurance technology,” says a statement from CPIC Property. “Our relationship with Metromile gives us the opportunity to more closely understand the pay-as-you-drive model, allowing us to create more innovative products and a better service experience for the younger and digitalized generation of the future.”
Metromile is licensed nationwide but currently underwriting policies in N.J., Ore., and Pa., and will underwrite policies in Calif., Ill., Va. and Wash. in the coming weeks, the company reports.