- Hippo Insurance announced it has raised $100 million in Series D round of funding led by Bond
Hippo Insurance — a high growth insurtech company that is transforming the home insurance market — announced it has raised $100 million in Series D funding led by Bond (global tech investment firm founded by Mary Meeker, Mood Rowghani, Noah Knauf and Juliet de Baubigny). Including this round of funding, Hippo has raised $209 million total. According to Fortune, this round of funding was at a $1 billion valuation.
Comcast Ventures, Felicis Ventures, Fifth Wall, Hillhouse Capital, Horizons Ventures, ICONIQ Capital, Lennar Corporation, Michael Ovitz, Pipeline Capital, Propel Venture Partners, RPM Ventures, Standard Industries, and Zeev Ventures also participated in this round.
Ever since Hippo launched in 2017, the company’s take on home insurance including coverage and pricing to claims and service has evolved into a new kind of insurance that proactively identifies and resolves ongoing risks for today’s consumers.
This round of funding will be used for expanding Hippo’s geographic footprint to more than 80% of the U.S. homeowner population by the end of the year, deepening Hippo’s direct-to-consumer product portfolio, growing Hippo’s distribution network of industry partners, and further cementing Hippo as the leading brand in modern home insurance.
And with this investment round, it will build on a record 12 months for Hippo — which has seen premiums grow more than 10 times and places them among the fastest-growing companies in the insurance tech sector.
“We launched Hippo to transform the outdated and often frustrating relationship people have with their home insurance provider into one that’s approachable, modern, and always adding value,” said Hippo co-founder and CEO Assaf Wand. “Not only are more than 60% of US homeowners underinsured but traditional insurance only interacts with you when you file a claim. We’re providing more comprehensive policies and helping customers prevent claims from ever happening through protective services, programs and alerts that safeguard their homes, a family’s largest personal asset.”
Hippo is working building faster, more accurate, and more affordable homeowners insurance for today’s customers. And the company’s data-driven pricing and real-time underwriting analyzes trusted public data sets ranging from municipal building records to satellite imagery of physical property characteristics to develop a more accurate profile of a customer’s property resulting in qualified customers receiving a comprehensive, tailored, and accurate quote in under 60 seconds along with reduced premium costs of up to 25%.
Plus Hippo also provides customers with complimentary smart home devices to protect homeowners against water leaks, fire damage, and break-ins. These devices have been well-received by clients with more than 70% installation rate to date. And Hippo’s customer-centric and preventative approach has earned an average Net Promoter Score of 76 (nearly three times the industry average).
“Hippo has emerged as one of the highest growth companies we’ve seen among its insurance peers and more broadly in FinTech,” added Knauf — who is joining the company’s board of directors in conjunction with the funding round. “The Hippo team is world-class and we’re excited to partner with them as they build the next generation insurance company.”
Along with Hippo’s direct-to-consumer and insurance industry partners, Hippo has built an extensive partner distribution network, including homebuilders like Lennar, lenders such as Better.com, homeowner insurers like First American Property & Casualty Insurance Company and key brands within the connected home industry like Xfinity.
Through Hippo’s partnerships with homebuilders, some newly constructed homes will have builder-installed smart sensors that help reduce the ongoing maintenance costs — which can help save customers more on their insurance premiums over time.
Hippo Insurance was founded by Wand and Eyal Navon in 2015. And it debuted in the insurance marketplace in April 2017. Now Hippo allows homeowners to get a quote and purchase home insurance online in 60 seconds or less.
