(Image source: Pathpoint homepage.)
Pathpoint (San Francisco), a startup digital E&S insurance distributor, has announced that it has raised $30 million in Series A funding, the third round of financing since the company’s founding. Investors include Caffeinated Capital (San Francisco), who led the round, and repeat investors including SciFi VC (San Francisco), Founders Fund, and Chubb.(Zurich). Hiscox (Hamilton, Bermuda) and other leading carriers also participated.
Launched in late 2020, Pathpoint offers retail agents property/casualty and professional lines products from 10 prominent carriers through the company’s online platform. Pathpoint pitches itself as combining world-class technology with the service capabilities of a full-service brokerage, which it characterizes as a first for the E&S industry.
Pathpoint’s describes its technology as improving the value and efficiency of the insurance distribution chain from quote to issuance, and at all other stages, and also reducing the cost of doing business by charging carriers lower commissions than traditional wholesale distributors. With one submission, agents can find out instantly which carriers can quote the risk and bind those quotes online, a company statement says. Pathpoint says it also handles compliance and account servicing at every step of the placement, binding, and renewal process.
Fast, Transparent Way to Access, Bind and Service E&S Products Online
“More and more business has been conducted through the E&S market in recent years, yet it’s one of the key segments of commercial insurance that has not been effectively digitized in any meaningful way,” comments Alex Bargmann, Co-Founder and CEO, Pathpoint. “Carriers and agents are desperate for a better way to conduct business. Pathpoint gives retail agents what they’ve long deserved: a fast and transparent way to access, bind, and service E&S products online. I feel privileged that we have the capital and carrier support to bring digital distribution to this market.”
Pathpoint says the funding will be used to further invest in software engineering and R&D and invest in growing and scaling distribution.