(Image source: Zesty.ai homepage.)
Zesty.ai, an Oakland, Calif.-based InsurTech providing property risk analytics solutions powered by artificial intelligence, has announced the closing of $33 million in funding, in a Series B funding round led by Centana Growth Partners, a growth equity fund with experience in financial and insurance technology. Current investors and Brex also participated in the oversubscribed round with equity and debt, according to a Zesty.ai statement. Zesty.ai says it will use the new capital to expand the breadth of its existing products within insurance and develop new products for the real estate market.
The vendor notes that the funding follows revenue growth in excess of 200 percent last year. Zesty.ai reports that it works with about half of the top 50 property and casualty insurance carriers in the U.S. to underwrite and rate homeowners and business insurance. The company’s climate risk products, which include Z-FIRE—a predictive AI wildfire risk model trained on decades of historical loss data—have seen widespread regulatory approval and commercial adoption across all states in the US. Zesty.ai’s clients include Amica, Aon, Berkshire Hathaway, Cincinnati Insurance, Farmers Insurance, and The California FAIR Plan.
“Zesty.ai’s rapid customer growth and the regulatory momentum behind their models is a clear reflection of the return on investment that they deliver to their customers,” comments Ben Cukier, Partner, Centana Growth Partners. “Zesty.ai has a novel approach to looking at real estate through artificial intelligence and has forged a path for forward-thinking customers to stay ahead of risk. We’re proud to support Zesty.ai as they continue to establish themselves as the market leader in AI-driven property risk and value analytics.”
Zesty.ai says the funding will fuel its expansion as it grows the scope of its property and climate risk products, scales its go-to-market motion, and builds real estate solutions designed specifically for mortgage, property, and asset management. The company says this represents a natural extension of its core mission in insurance, which it describes as leveraging cutting-edge technologies such as AI and computer vision to help protect families, communities, and their financial well-being.
“Real estate is the world’s largest store of wealth with more than $300 Trillion in global assets, but unfortunately the way the world understands value and risk in real estate is based on outdated inspections and decades old risk maps,” comments Attila Toth, Founder and CEO, Zesty.ai. “That analog view of real estate has been especially apparent in trying to understand the impact of climate risk on property value. Zesty.ai digitally transforms the world’s understanding of real estate by using artificial intelligence to build best-in-class predictive models that deliver risk and value insights at the individual property level. We want to thank our customers and investors for their partnership, as well as our highly-talented team of Zesties for working tirelessly to deliver on our customer commitments while protecting the livelihood of people and their communities.”