16 October, 2024 - New York, New York: INSHUR, the multi award-winning global embedded insurance provider to the on-demand economy, has raised USD $19m in its latest funding round.
The round was led by Viola Growth, with the participation of MS&AD Ventures and existing investors. It brings INSHUR’s funding to a total of USD $78.5m, a significant achievement during a period when global tech investment has become ever-more focused on strategic growth, profitability and strong market positioning. Natalie Refuah, General Partner at Viola Growth, will also be joining INSHUR’s board of directors as its nominated Chairperson, bringing a wealth of experience helping visionary founders and entrepreneurs to build and scale significant global category leaders.
INSHUR drove nearly 4x growth in 2023, and following the acquisition of American Business Insurance Services (ABI) in April, the company has expanded its services across the US and enhanced its offering for both drivers and platform partners globally. This news is the latest strategic milestone in INSHUR’s growth story, continuing to secure the company’s position as the the leader in on-demand economy insurance. The investment will enable the business to continue scaling its operations globally, particularly in the US, establish and develop further relationships with key platform partners, and to continue to build its global team of insurance and technology experts.
As part of these ongoing efforts, INSHUR welcomes Bill Walrath as its Director of US Markets. As an industry veteran with over two decades of insurance leadership experience, Walrath will lead US insurance business operations for INSHUR, including reinsurance and carrier management. Walrath previously served as the Head MGA/Reinsurance with Gateway, where he led the efforts to manage the programs growth and profit initiatives along with the successful placement of the reinsurance portfolio, and also held several senior leadership roles during his 23 years at Farmers Insurance.
INSHUR’s strong partnerships with the world’s leading on-demand economy platforms are key to INSHUR’s ongoing success. Since 2018, INSHUR and Uber have been working together to deliver seamless integrations of innovative tech solutions to provide insurance products tailored for on-demand livery drivers. Now, INSHUR is working towards a full US rollout of its digital rideshare product in collaboration with Uber. At the same time, the global car sharing market is projected to reach $15.78bn by 2029, according to Statista Market Insights, and INSHUR is making waves in this market. Its car sharing insurance product saw 100% growth in the past year to date and is projected to drive 3x growth this year.
Insurance for the on-demand economy is a challenge for drivers. According to INSHUR’s recent report, Driving the On-Demand Economy, over a quarter (26%) of drivers in the US say that vehicle insurance is one of the biggest burdens on their finances, with 26% of Rideshare claiming that insurance is too expensive. A quarter of drivers (25%) say that on-demand platforms should offer advice and/or assistance when buying insurance. While women (27%) are more likely than men (23%) to say they need help buying insurance, men are six percentage points more likely than women to say better pricing is a priority for them (29% vs 23%).
INSHUR solves this challenge through its superior underwriting capabilities and exceptional claims handling, enabled by its innovative technology platform, to offer a suite of products tailored specifically for the on-demand lifestyle – helping workers to stay on the road and keep earning. By leveraging AI as well as new technology features including enhanced self-service functionality, INSHUR is able to focus on enhanced customer satisfaction and retention as well as achieving a market leading loss ratio.
Dan Bratshpis, CEO and Co-Founder at INSHUR, comments: “The future is on-demand. In just a few years, the way we access services like taxis and the way we purchase our groceries and pizzas has changed forever. In fact, our report found that nearly half of on-demand drivers had doubled their hours in 12 months. As the on-demand economy gains momentum around the world, it’s our mission to support the world’s biggest platform and insurance partners in ensuring that insurance coverage is fair and accessible for on-demand economy drivers.”
He continues: “2023 was truly a break-out year for INSHUR, and I couldn’t be more grateful for the support of our investors and partners in helping us realize our goal of becoming the on-demand economy insurance market leader. We know from our research that on-demand economy drivers need new approaches from the insurance industry to support their lifestyles, and Viola Growth and MS&AD Ventures have demonstrated their commitment to helping to build the new generation of technology-driven insurers. As Natalie joins the board and Bill takes the reins as Director of US Markets, I know their experience and insight will prove invaluable as we continue to grow in 2024 and beyond.”
Natalie Refuah, General Partner at Viola Growth adds: “Despite challenges faced by certain areas of Insurtech in recent years, companies that focused on specialized insurance and demonstrated excellence in technology, operations, and financial performance have managed to scale rapidly and outperform incumbent insurers. INSHUR, with its unique and innovative approach to on-demand economy drivers' insurance - an embedded solution featuring cutting-edge technology and deep insurance expertise - has gained a leading market position and impressive revenue growth. We are excited to join the journey!”
Elias Davis, Partner at MS&AD Ventures, concludes: “INSHUR's deep expertise in both insurance and technology has enabled them to successfully modernize global insurance solutions for the fast-growing on-demand economy. Coupled with their platform partnerships, INSHUR is a valuable addition to our portfolio and we are looking forward to supporting their growth.”