Top insurtech funding rounds, May 2023

June 1, 2023 6:51 AM

There were more than 40 funding events in the insurtech sector between May 1 and May 30, 2023, according to a review by Digital Insurance. What follows is a selection of these, focusing on those in the P&C and life insurance sectors that are part of the venture-capital financing model. (Other funding events, such as private-equity infusions, are included in the overall count.)

A portion of the data was sourced from Crunchbase. Other information, including quotes from investing VCs, comes from company announcements. For our previous edition, which covered the month of April, click here. These updates will continue monthly.

Wefox

$110 million, Series D, May 17

Type of company: Digital distribution platform

Round participants: Squarepoint Capital

Other notes: $55 million of the total raised comes from a revolving credit facility from J.P. Morgan and Barclays. The rest was raised from new and existing investors as an extension of the company's $400 million Series D from last year.

Novidea

$50 million, Series C, May 3

Type of company: Insurance distribution management system

Round leader: Battery Ventures

Other participants: Cross Creek, Israel Growth Partners (IGP), KT Squared, and JAL Ventures

"While businesses globally adjust to dealing with a pronounced increase in risk—driven by geopolitical, economic, and other events—the insurance industry has generally been underserved by technology relative to other sectors. Novidea has built a modern, comprehensive software suite which currently powers some of the world's largest and most complex insurance groups, and we are excited to partner with them for their next phase of growth." – Shiran Shalev Partner at Battery Ventures.

Obie

$25.5 million, Series B, May 17

Type of company: Landlord and investor-focused insurance platform
Round leader: Battery Ventures
Other participants: Brick and Mortar VC, DivcoWest

"Despite the recent volatility in the real estate and insurtech markets, we believe Obie's approach to growth—namely, by using an API-first approach and embedding their technology within their large ecosystem partners—is the right one for this market, and the company's recent success demonstrates this." – Michael Brown, Battery general partner

Sixfold.ai

$6.5 million, seed, May 5

Type of company: Generative AI for insurance underwriting

Round participants: Bessemer Venture Partners, Crystal Venture Partners

"Prior attempts at AI in insurance haven't gained much traction because they took a "black box" approach and thought they knew better than the underwriters. These failed attempts need way too much data and haven't produced consistent results. Instead, we've trained generative AI models to 'understand' all of this information and assist humans with the manual assessment. With the Sixfold Assistant, underwriters will be able to quickly evaluate and rate all submissions, thus improving underwriters' capacity as well as the accuracy and traceability of their decisions.

Today, the Sixfold Assistant is best positioned to eliminate a lot of the "grunt work" that underwriters deal with on a daily basis: tracking down information from third parties, poring through thousands of pages of documents, and making sense of unstructured data. Sixfold will serve as a co-pilot to underwriters, plugging into existing technology so insurers don't need to overhaul legacy systems in order to take advantage of Sixfold's capabilities." – Alex Schmelkin, Founder and CEO at Sixfold, in a May 24 launch announcement.

Marble

$4.2 million, seed-plus, May 8

Type of company: Digital wallet with rewards for insurance

Round leader: Distributed Ventures

Other participants: Blue Collective, Goodwater Capital, CE Innovation Capital, IA Capital Group, MS&AD Ventures, Reciprocal Ventures

"Under innovative leadership and a dynamic team, Marble has implemented an impressive cost-effective acquisition strategy that continues to strongly resonate with consumers, as indicated by the tens of thousands of users generated in less than 18 months." – Adam Blumencranz, Partner at Distributed Ventures