(Image source: Cover Genius homepage.)
Cover Genius (New York), a global InsurTech dedicated to embedded insurance, announced that it has raised $70 million in Series D funding in a round led by Dawn Capital (London), with participation from new investor, New York-based Atlas Merchant Capital, and existing investors including GSquared and King River Capital. The raise will assist in the InsurTech’s rapid business growth and expansion of its award-winning global insurance distribution platform, XCover, according to a Cover Genius statement.
Cover Genius reports that this oversubscribed round represents a significant valuation uplift from the company’s Series C round in 2021. Cover Genius reports that, since then, it has experienced a year of significant growth, reaching $1.1 million in daily gross written premium, nearly tripling its year-over-year revenue, and doubling its partnership base with new logos including leading American travel app, Hopper, two of the world’s largest airlines, Ryanair and Turkish Airlines, buy-now, pay later leader, Zip; and Indian gig economy platforms, Ola and Betterplace.
Cover Genius reports that it has also deepened its global capabilities by investing in India-based InsurTech, ensuredIT, and broadened its reach in key verticals by acquiring a specialist in ticket refund protection, Booking Protect—which brings market leaders like SeatGeek, Seetickets, Tessitura, Secutix, Audienceview, Zaiko and more onto the XCover platform.
“We’ve always been strategic about our approach to fundraising, and closing our highest-ever funding round in a challenging environment for raising capital reinforces the strength of our embedded business model,” comments Angus McDonald, CEO and co-founder, Cover Genius. “Customers are dissatisfied with traditional insurers who went missing during the pandemic and consistently deliver low post-claim Net Promoter Scores (NPS) scores. Our tech-forward solution focuses on a seamless and transparent customer journey and, in contrast to traditional insurers, delivers a post-claim NPS of +65.”
Cover Genius offers embedded protection to multiple industries including airlines, travel and rental companies, retail, financial services, real estate, logistics, ticketing, gig economy and benefit companies and others. Its roster of partners includes the world’s largest digital companies, including Booking Holdings, owner of Priceline, Kayak and Booking.com, Intuit, Hopper, Skyscanner, Ryanair, Zip and SeatGeek. XCover, Cover Genius’ award-winning global distribution platform, is also available at Amazon, eBay, Wayfair, Flipkart, and SE Asia’s largest company, Shopee.
The platform is licensed or authorized in more than 60 countries and all 50 US states and delivers personalized insurance and warranty products in any country, language and currency alongside available instant claim payments around the world.
Rethinking Insurance Distribution
“Cover Genius is rethinking insurance distribution with a tech-forward platform that enables partners and end-customers to provide and access protection at the point of need,” comments Dan Chaplin, Principal, Dawn Capital. “Embedded insurance is a rapidly growing segment of the market, and Cover Genius has built a leading platform that is globally enabled, multi-line and end-to-end. They’re working with some of the world’s largest platforms in multiple industries, and have combined exponential growth this year with an exceptionally strong business model. We’re excited to support Cover Genius as it continues to reshape the insurance industry and enable easy protection for consumers and businesses.”