Car Insurance Platform Company Clearcover Insurance Secures $50 Million

By Dan Anderson ● January 7, 2020
  • Smarter car insurance platform company Clearcover announced it has raised $50 million in Series C funding led by OMERS Ventures

Clearcover — a smarter car insurance platform company — announced that it raised $50 million in Series C funding led by OMERS Ventures. The previous investors that participated in the round include American Family Ventures, Cox Enterprises, and IA Capital Group.

This round of funding follows Clearcover’s $43 million Series B round of funding, which closed in January 2019. And it brings Clearcover’s total funding to more than $104 million since its 2016 founding. OMERS Ventures managing partner Michael Yang will join Clearcover’s board.

With this round of funding, Clearcover will use the funding to continue building the technology powering its industry-leading cost efficiency and customer experiences. And in addition, the new funding will enable Clearcover to accelerate growth by continuing its expansion in existing markets and launch in new states throughout the U.S. and integrating additional distribution channels in the automotive and financial services space.

“The market is taking notice of how Clearcover is redesigning the model of running an insurance company in further service of customers. OMERS Ventures brings a wealth of resources and experience to support scaling our business, making them the ideal partner as we take on the next stage of growth,” said Kyle Nakatsuji, Co-Founder and CEO of Clearcover. “This investment enables us to continue delivering better coverage – for up to 230 million licensed US drivers – for less money.”

Going forward, the team will double its current headcount across product, engineering and data science with local, and remote options.

“We are excited to support Clearcover’s mission to disrupt the future of auto insurance,” added Yang. “Clearcover’s business strategy and technology foundation for sustaining a long-term competitive advantage, combined with its vision for the modern customer experience, is incredibly compelling. We believe in Kyle Nakatsuji and the entire Clearcover team to revolutionize the insurance industry and deliver significant value for their customers.”

Last year, Clearcover tripled policy sales year over year while quadrupling premium. The service is currently available in Arizona, California, Illinois, Ohio, and Utah.