(Image source: VOOM homepage.)
VOOM, a Tel Aviv-based startup on-demand, telematics/usage-based insurance (UBI) platform for specialized mobility, announced that it has emerged from stealth and closed a $5M Series A funding round. The round was led by Arbor Ventures (Hong Kong) with participation from returning investors F2 Capital (Tel Aviv), Verizon Ventures (Basking Ridge, N.J.), and Kaedan Capital (Tel Aviv), as well as new partner Plug and Play Ventures (Sunnyvale, Calif.). The new funding brings VOOM’s total amount of capital raised to $7M.
During its stealth period, VOOM was active under the SkyWatch.AI brand, which provides usage-based insurance for commercial drones. VOOM reports that it will now offer on-demand insurance for episodic usage mobility, including e-scooters, powersports, motor boats, small planes, and other modes of transport.
“With the rise of on-demand mobility services such as e-scooters, we discovered that in most cases, riders are not covered in case of an accident,” comments Tomer Kashi, CEO and Co-Founder of VOOM. “And much more importantly, they are not aware of this fact. VOOM will ensure that users of unique mobility platforms can grab insurance on-the-go from their mobile devices whether they ride, fly, or sail.”
VOOM’s offerings aim at an emerging, underserved market for mobility-related on-demand insurance. The company notes that e-scooter accidents are on the rise across major US cities, yet scooter companies typically do not issue insurance policies that protect riders from liabilities and personal injuries; insurance platforms that do exist for alternate forms of mobility such as boats and motorcycles are largely limited to rigid, annual based plans.
VOOM says that it plans to build upon SkyWatch.AI’s telemetry-based risk analysis engine for commercial drones, which provides users with a mobile application that sends operators real-time hazard warnings, feedback, and actionable insights on how they fly. VOOM’s new platform will collect mobility data points to analyze potential safety threats, including weather information and hazardous environments. VOOM will use this data to score users’ safety and performance to customize insurance policies.
Keeping Up With Shifting Consumer Behavior
“Insurance is a given across every traditional mobility category; however, coverage offerings clearly haven’t kept up with shifting consumer behaviors and emerging risks, such as those associated with micro mobility usage,” comments Lior Simon, VP and Head of Israel at Arbor Ventures. “I believe in the VOOM team’s ability to execute their vision and am thrilled for them to join Arbor’s portfolio.”
“We saw the demand and traction with SkyWatch.AI and are thrilled to support the new funding round with VOOM’s driven, entrepreneurial team to evolve their insurance model and deep technology to the booming micro-mobility market and other mobility verticals in coming years,” comments Barak Rabinowitz, Managing Partner, F2 Capital.
VOOM says that it seeks to collaborate with top insurance carriers to offer users on-demand, usage-based insurance policies for multiple modes of transport. The company asserts that the user-friendly quality of its app and web portal, backed by its underlying AI-based risk analytics platform, make it easy for consumers to purchase inclusive and affordable on-demand insurance from their iOS or Android device, or via the web.