Brown & Brown acquires CoverHound
Insurance brokerage Brown & Brown has acquired insurtech CoverHound in a bid to accelerate its expansion into the digital insurance market.
The deal also includes CoverHound’s cyber insurance business CyberPolicy, established in 2016 to provide small businesses with broader access to cyber insurance. Financial details of the deal were not made public.
CoverHound was established 10 years ago in the nascent days of the insurtech movement and has continued to grow in the decade since - just last February it closed a $58m Series D led by Hiscox. Its marketplace allows customers to directly compare dozens of the US’ top insurers with the aim of simplifying the increasingly complex task of choosing and purchasing both business and personal coverage. The upshot is greater transparency at a time when many customers feel overwhelmed or just straight confused over which coverage is right for them.
Digital meets traditional
Rather than assimilate its platform and experts, Brown & Brown will continue to operate CoverHound independently. As well as offering a turnkey solution to enter the digital insurance arena, Steve Boyd, Brown & Brown’s SVP of Technology, Innovation, and Digital Strategy, says the move will support growth in its “traditional business”.
“By combining CoverHound with our expertise and market strength, we will be able to meet more customers where they are and provide them with the appropriate coverage for their unique exposures,” he says.
Keith Moore, CEO of CoverHound, welcomes the move, believing it “strengthens what has always been our mission: delivering fast, accurate and actionable options online to customers based on their specific insurance needs, anytime, anywhere.”
“Combining Brown & Brown’s strong carrier relationships with our proven marketplace technology will offer customers best-in-class curated choice and digital simplicity.”
Akur8’s US$30mn Series B to fuel US and APAC expansion
Still a relatively new company in the sector, Akur8’s progress since it was founded in 2018 has been characterised by cutting-edge tech, strategic growth, and a highly personable approach that clearly demonstrates the youthful innovation of insurtech itself.
The company strives to embody four key values:
- Challenging a status quo that doesn’t benefit customers
- “Disrupt the known, organise the unknown”
- Provide artificial intelligence (AI) tech with a distinctly human edge
- Create solutions that will endure the test of time
At the heart of Akur8’s business is its Transparent AI solution. Capable of empowering actuaries and pricing teams through better, faster decision making, the insurtech touts it as “the only solution that automates rate modeling while keeping full transparency and control.”
Transforming insurance pricing
In just two years, Akur8 has acquired over 30 customers in 10 countries - including high-profile insurers like Munich Re, Tokio Marine Kiln, AXA, and Generali - and established additional offices in London and New York. Now, the company is keen to develop its business in the US’ verdant insurance market and build its presence in APAC.
“The BlackFin team is thrilled to see Akur8 continue to spread its wings and deploy its next generation pricing platform across insurance carriers worldwide,” said Julien Creuzé, Partner. “We have built a great relationship with the Akur8 management team and it’s a pleasure to welcome new investors and continue this journey with them.”
Guillaume Beraud-Sudreau, Co-Founder and Chief Actuary at Akur8, added, “We are humbled by the trust that our clients and investors have placed in Akur8. Building the future of insurance pricing powered by Transparent AI has been our goal since the first day of R&D. Now this vision has become reality and we can’t wait to accelerate our growth to become the global reference in insurance pricing.”
Cover image source: Akur8