(Image source: Snapsheet homepage.)
Snapsheet, a Chicago-based provider of virtual claims software for the property/casualty industry, announced the close of a $12 million series D round led by Tola Capital (Seattle). Snapsheet reports that it will apply this investment to further accelerate the development of its claims platform, which the vendor describes as mobile-first, data-centric, and to expand sales, marketing and customer engagement functions. As part of the round, Sheila Gulati, managing director, Tola Capital, will join Snapsheet’s board of directors.
Snapsheet’s platform includes claims management technology, data-enabled workflow, and mobile applications for customers and adjustors, which empower auto insurance carriers to efficiently manage the claims lifecycle for all parties, according to the vendor. The platform’s capabilities guide customers through the lifecycle of submitting and processing a claim, reducing the time required for claims adjusters to collect and submit data, thereby improving cycle times and customer satisfaction, a Snapsheep statement asserts.
Relationships with Top Carriers
“We have continued to build relationships with top insurance carriers, including industry leaders like USAA, Liberty Mutual and Metromile, validating our vision for a seamless, software-enabled claims lifecycle,” comments Brad Weisberg, founder and CEO, Snapsheet. “Our platform is reimagining the claims process and enables 90 percent of all claims to be processed virtually.”
“We’re dedicated to investing in technologies like machine learning that will continue to improve workflows for the insurance industry,” Weisberg adds. “The funding and partnership with Tola Capital, an investor with deep roots in the enterprise software industry, will be a key enabler for us on this journey.”
The Snapsheet statement draws attention to the value Sheila Gulati brings to the company’s board as an investor with a deep focus on building software platform businesses, machine learning and data platforms and serving as a former business leader with Microsoft.
“The traditional insurance claims cycle has been fraught with laborious, multi-step processes that were inconvenient to insurance customers and costly for carriers and repair shops,” Gulati comments. “Snapsheet has created a platform that has optimized a key workflow for its customers and created a deeply valuable set of data to further drive insight and business value for the insurance industry.”
Aggressively Seeking Innovative Claims Solutions
The property/casualty industry, particularly the auto segment in which Snapsheet primarily operates, is aggressively seeking and adopting innovative claim solutions that can reduce claims cycle time and costs and improve customer claims experience as both claims frequency and claims severity continue to rise in tandem, creating a perfect storm for insurers, according to Stephen Applebaum, Managing Partner, Insurance Solutions Group.
“Later model vehicles are brimming with accident avoidance and driver assistance technologies which do help avoid accidents but are expensive to replace and are driving up repair costs, and thus average severity, when accidents do occur,” Applebaum comments. “In addition, relatively low gas prices coupled with a steadily improving economy have resulted in record levels of total miles driven—which directly correlates to increases in accident and claim rates.”
“There are approximately 16 million insured auto claims in the U.S. annually and only a small fraction—likely less than 5 percent—currently utilize virtual claims solutions such as Snapsheet offers,” Applebaum adds. “That being the case, large and frequent capital injections can be expected to continue to flow into these organizations in order to scale them up to meet this growing industry demand and to fuel necessary investments in people and technologies in order to further improve their results.”