Metromile is beefing up its technology environment with recent implementations of claims software from Guidewire Software and Hyland, while making other moves to increase its footprint in the U.S. insurance market.
The San Francisco-based startup deployed Guidewire ClaimCenter and OnBase by Hyland’s as an integrated platform on Sept. 21. The automated cloud software will shorten Metromile’s claims processes from first notice of loss through settlement, according to the vendors. Initial rollout of the technologies spanned across New Jersey, Oregon and Pennsylvania.
“It was important for us to ensure we were built upon the most solid industry standard for processing claims so we could focus on the long-term potential of the core consumer facing experience, says Dan Preston, CEO of Metromile, adding the company wants to provide claims service that is “consistent with the positive interactions customers have had with the other parts of the Metromile experience.”
The pay-per-mile insurer plans on extending claims services to other states as it aggressively expands over the next year, according to a company blog post. Metromile will begin underwriting policies in Virginia, California, Illinois, and Washington in the coming weeks, it said.
“Metromile looks like it is ready to start playing with the big kids. Even beyond money and licenses, the key takeaway is Metromile’s intention to underwrite its own policies,” said Donald Light, director, North America property/casualty practice at Celent. “In short, it will be more than a channel and provider of good experiences to low mileage drivers.”
That intention was signaled by two other Metromile announcements this week. The company completed another financing round, bringing its total raised since 2014 to $192 million. And, it has used newfound wealth from investors Intact Financial and Index Ventures, among others, to acquire Mosaic Insurance Company,
"The Mosaic acquisition supports geographic expansion through state licenses across the US, and the new funding enables more growth potential," says Mark Breading, SMA partner. "The implementation of established insurance software solutions from Guidewire, Hyland OnBase, and Smart Communications is another signal that this one-time insurtech startup is maturing.”
Metromile stands as the insurance industry’s sole provider of pay-per-mile insurance, targeting customers who drive less than 10,000 miles a year. According to Preston, the insurer is aiming to introduce new claims updates soon, though nothing has been announced yet.
