The latest funding round, led by CapitalG, will bring the Next Insurance’s valuation to more than $2bn
Next Insurance, a US-based insurtech company offering insurance to small businesses, has secured $250m in Series D funding round.
The funding round was led by CapitalG, Alphabet’s growth fund, with participation from FinTLV, an insurtech VC and existing investor Munich Re. CapitalG partner Sumiran Das will join the digital insurer’s board of directors.
Next Insurance offers simple, affordable and customised insurance products to small businesses and the self-employed. The firm claims that its technology-first approach will bring down costs by up to 30% compared to traditional policies.
The firm is touted to have increased its gross written premiums (GWP) year-over-year by 113%. It also claims to have recorded GWP of $750,000 in a single day, a 75X increase in three years.
The digital insurer has committed to act as a one-stop-solution for small business insurance, with more than 100,000 customers.
At present, the company offers its services to 1,300 types of businesses across 50 states. It provides six insurance offerings including general liability, professional liability, commercial auto and workers’ compensation coverage, all under one roof.
Next Insurance to hire 200 new employees in next 12 to 18 months
The firm had increased its staff by 50% in 2020. It plans to hire more than 200 new employees in the next 12 to 18 months for its offices in Palo Alto, Austin and Israel.
Next Insurance co-founder and CEO Guy Goldstein said: “We aspire to help businesses thrive by delivering phenomenal insurance products and experience. Insurance is a market primed for a new approach – one that believes it is a social good and cares for its customers.
“We believe we have the right team, the right approach and the right products to enable us to lead the shift in this industry, and we are excited to have CapitalG joining the ride.”
The digital insurer stated that it had added Tools and Equipment, and Hired and Non-Owned Auto (HNOA) coverage and expanded Workers’ Compensation coverage to more markets in the last two months.
The company aims to offer new products next year to better serve the specific needs of small businesses in industries such as accounting, construction, fitness, retail and many more.