Top insurtech funding rounds, May 2024

June 6, 2024 5:30 AM

Office windows at the Taunustor skyscraper office property in the financial district in Frankfurt, Germany.

Enjoy complimentary access to top ideas and insights — selected by our editors.

There were about 60 funding events in the insurtech sector between May 1 and May 31, 2024, according to a review by Digital Insurance. What follows is a selection of these, focusing on those in the insurtech and property & casualty 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.

Honeycomb

$36,000,000.00, Series B, May 7

Type of company: Real estate insurtech for landlords

Investors: Zeev Ventures, Ibex Investors, Launchbay Capital, Arkin Holdings, SiriusPoint

"The new funding will be used to further improve the end-user experience, driving enhanced profitability to our broker partners, and broadening the type and size of policies offered," Itai Ben-Zakan, co-founder and CEO of Honeycomb, said in a statement. "We plan to deepen our technological advantage with proprietary AI models leveraging unique first-party data and expand into new insurance markets, turning Honeycomb into a one-stop shop for everything related to commercial real-estate insurance in the U.S."

Cover Whale

$27,500,000.00, Series A, May 22

Type of company: Commercial trucking insurtech

Investors: Morgan Stanley Expansion Capital, Ambac

"We believe Cover Whale is a rare instance where the team has built a large-scale insurtech MGA and achieved consistent profitability while remaining capital efficient," Nick Nocito, Executive Director of Morgan Stanley Expansion Capital, said in a press release. "We are looking forward to partnering with the team as they continue to grow the platform and pursue new avenues of growth."

Functional Finance

$16,999,992.00, Venture - Series Unknown, May 30

Type of company: Financial operations platform for insurers

Investors: New Enterprise Associates, Walkabout Ventures, Altai Ventures, C.V. Starr & Co

"At my last startup I realized firsthand that spreadsheets and emails are terribly inefficient, error-prone and costly ways for the insurance industry to manage their payables and receivables," Rashmi Melgiri, CEO of Functional Finance, said in an announcement. "You can build fast-growing businesses and take payments online but reconciling that on the back end is often overlooked and deprioritized, leaving it to intensive manual labor. There was a tremendous opportunity to create an automated technology solution that will make the industry move faster, and the experience should be more efficient and positive for clients and customers."

CoverTree

$13,000,000.00, Series A, May 9

Type of company: Digital insurance for manufactured homes

Investors: Portage Ventures, Everywhere Ventures (The Fund), Ludlow Ventures, AV8 Ventures, Detroit Venture Partners

"This investment is a testament to the value we bring to homeowners by redefining the insurance experience," said Adarsh Rachmale, co-founder and CEO of CoverTree. "With these funds, we will continue to innovate, expand our reach, and ultimately provide even more individuals with peace of mind through our high tech and accurate home insurance solutions."

Re

$7,000,000.00, Venture - Series Unknown, May 15

Type of company: Reinsurer incorporating blockchain technology

Investors: Framework Ventures, Exor Ventures, SiriusPoint, Stratos, Tribe Capital