Insurtech firm CoverHound has raised $58m in Series D funding, led by insurance company Hiscox, with additional investments from other insurance companies including Chubb, Aflac Ventures and Japan-based MS&AD.
With this funding round, CoverHound stated that it has till now raised a total capital of $112m. In the last eight years, the firm claims to have sold more than 200,000 policies and continues to offer actionable business and personal insurance options.
CoverHound, through its subsidiary CyberPolicy, supports small businesses to compare, quote and buy cyber insurance online.
The company said that today cyber insurance has become a critical need for more than 30 million small and medium-sized businesses across the US.
Besides supporting CyberPolicy, the funding round is expected to allow CoverHound to expand its offices beyond San Francisco and Westlake Village, California to Charlotte, North Carolina and fuel the company’s international expansion into Japan and other global markets.
This investment could also reinforce the company’s branded partnership growth and more partnerships with banks, large insurers and technology providers that are lined up for this year.
CoverHound CEO Keith Moore said: “The future of digital insurance distribution will continually shift to more non-traditional insurance brands. CoverHound has built the leading P&C platform to enable any brand’s customers to easily quote, compare and buy personal, business and cyber insurance. In an industry that’s been heating up with a flurry of new entrants, we feel blessed that we know exactly who we are and what we excel at.
“We have no desire to be an insurance carrier or an online search engine purely for price comparisons. CoverHound and CyberPolicy are digital, trusted advisors for curated choice for anyone needing personal or business insurance.”
Last November, CyberPolicy started offering cyber insurance options through Progressive Insurance to provide more SMBs access to cyber insurance.
Last May, the company partnered with Hiscox to offer cyber insurance via CyberPolicy.
Hiscox USA Small Business Insurance executive vice president Kevin Kerridge said: “We are delighted to have this opportunity to work more closely with one of the few truly digital agencies that shares our passion for making material strides in the changing SMB landscape.
“CoverHound, as reflected more recently through its CyberPolicy brand, is leading the charge in providing a best-in-class digital cyber solution for businesses, and we are excited to be part of that both as a carrier and the lead investor in this funding round.”