(Image source: XILO homepage.)
XILO, a San Diego-based InsurTech startup that helps independent insurance agencies streamline data entry and provide better digital quoting experiences for their customers and agents, has raised $2 million in a seed round led by New Stack Ventures (Chicago) and includes Act One Ventures (Los Angeles). The funding will be used to expand XILO’s customer base and further develop its product.
Founded in 2019 by Jon Corrin and Eli Zaragoza, XILO emerged from an effort to find ways of making Zaragoza’s independent agency ore competitive with established digital players such as Progressive Direct and Lemonade. Corrin, who has a background in software engineering and product development, worked with Zaragoza and his father who jointly own the agency. “Once I dived deeper, I quickly realized there were a lot of pain points around the current software agencies were using and the user experience that they offered to customers and agents,” Corrin recalls. “With all this in mind we decided to use his agency as a guinea pig for what has now become XILO.”
XILO helps independent insurance agencies streamline data entry and provide better digital quoting experiences for their customers and agents, according to Corrin. The platform lets agentss build their own digital forms that integrate directly into their raters, management systems, ACORD forms, supplemental applications, and more. The company currently has approximately 150 agency customers and plans to triple that number in the wake of the new funding, as well as adding new features to the product.
“Our goal as a company is to help agencies compete against disruptors like Lemonade,” Corrin says. “This is why we build products like customizable digital quoting experiences, integrations into insurance systems, sales automation, and more.”
The insurance industry is rapidly evolving, as consumers seek a more transparent, streamlined, and technology enabled solution to purchasing a policy, according to Nick Moran, General Partner, New Stack Ventures. “While $2.5B+ was invested into insurance technology in 2019, the traditional agency was largely ignored—left to fend for themselves with legacy solutions,” he says. “Traditional agencies account for 93 percent of the insurance market and must evolve with the demands of consumers. XILO is fast becoming the tech standard—empowering agencies with a digital-first solution.”
“With XILO, agencies will be able to look, feel, and operate like the Lemonades of the world,” Corrin adds. “Everything in their business that doesn’t need human interaction will be automated so the agents can focus on what they’re best at, building relationships, advising on insurance, and moving customers forward.”