- Boost Insurance has announced it raised a $14 million Series A round of funding to expand its cutting edge infrastructure-as-a-service (IaaS) platform
Boost Insurance has announced it raised a $14 million Series A round of funding to expand its cutting edge infrastructure-as-a-service (IaaS) platform, which is transforming the insurance industry. This round of funding was co-led by Coatue and Greycroft with participation from Tusk Venture Partners, Conversion Capital, and MetLife Chairman Glenn Hubbard.
Existing investors Norwest Venture Partners and IA Capital Group also participated in the round. Including this round of funding, it brings Boost’s total raised to $17 million. And this round will be used to launch new business lines and expand its API services.
Boost essentially makes it simple for companies in any category – ranging from leading technology brands to insurance tech startups – to offer white-labeled digital insurance solutions to their customers. And Boost’s partners can be live in a fraction of the time it takes with traditional insurance companies – which typically takes one to four years to launch a new program. Plus its tech-forward and data-driven approach makes it the ideal platform to create innovative insurance products for the applications that better serve the modern consumer.
“The P&C insurance industry is a $600 billion a year growing market. Boost is uniquely positioned to provide the infrastructure for modern insurance products to be offered by digital innovators across any industry,” said Boost CEO and founder Alex Maffeo. “We are grateful to partner with this incredible group of investors. Their backing validates the progress we have made towards powering an insurance ecosystem for the modern world.”
After its recently launched security deposit replacement program with LeaseLock and its SMB commercial cyber insurance program with Cowbell Cyber, Boost announced the rollout of several new data-driven products that will be offered through a host of innovative distribution partners in 2020. These products include Startup-Focused Management Liability, Parental Leave Employer Protection, Pet Insurance, and Identity Theft Protection.
“Insurance is a natural adjacency that so many companies have the potential to expand into – but building into the vertical can take years. Boost is carving out a new insurtech opportunity by providing the insurance infrastructure needed for brands to bundle insurance offerings and ultimately add more value to their customer bases,” added Ellie Wheeler, Partner at Greycroft. “Boost has applied its expertise in both insurance and technology to build that foundation for the entire marketplace, and we believe it will transform the way insurance is bought and sold in this tech-enabled world.”
Boost’s fully compliant IaaS platform comes equipped with the end-to-end insurance infrastructure that is challenging and cost-prohibitive for companies to build in-house. And this includes data-driven insurance product development, appointment by an ‘A’-rated insurance carrier, and dedicated risk capacity backed by global reinsurers. Boost — which is available through a simple API integration — also enables automated claims administration, compliance, and sophisticated data analytics for its distribution partners.
“Coatue invested in Boost because of the momentum they’ve created across the insurance ecosystem via its simple, API-driven insurance solution,” explained Bennett Siegel, Partner at Coatue. “Boost drastically reduces the complexity and overhead faced in building a meaningful insurance business – whether its partners are insurtech startups or enterprise-level technology brands. This fundamentally changes the way consumers interact with insurance by enabling them to purchase it from the brands they know and trust. We’re excited to collaborate with Boost as it continues to provide the infrastructure for the next generation of insurance.”