Hoggo raises US$13.1mn in latest funding round
The health and risk contract management startup which was launched in 2018, will use the injection of capital to expand its services. It currently operates with over 40 insurers and collates and compares an estimated 3,000 group insurance offers.
According to reports, Hoggo specialises in group health and risk insurance for SMEs - a sector with a market valuation of over $40.5bn in France.
The insurtech's core offerings include optimising and streamlining the health and risk contract management through a single platform, regardless of the insurer involved.
The company has expanded massively over the past 12 months due to more insurance administration requiring digital handling so that claims can be managed. Data also shows Hoggo tripled the number of its policyholders in 2020.
Hoggo’s collective, automated insurance platform
Hoggo says the aim is to bring all participants together into one portal so that admin tasks can be automated, exchange of information can be quickly facilitated, and enabling clients to reduce the time frame via the granular analysis of data, “by 10 and save an average of 25% on their contracts.”
The company has also released statements saying it intends to become the ‘leading platform for the distribution and management of health and risk insurance’.
According to investment partner Partech, Hoggo now supports 2,000 firms, HR managers and business owners who manage administrative and regulatory management.
The platform is popular because it enables users to find the best price and guarantee through a free marketplace.
Speaking about the latest funding round and the company’s plans, Hoggo co-founder and CEO Anna Rossin explained, “SMEs and employers are overwhelmed with time-consuming administrative tasks that prevent them from focusing on developing their business.
“We created Hoggo to save them time and free their minds while ensuring they pay the optimal price for their insurance.”
Lyon-based pharmaceutical company AlisPharm CFO Xavier Rostan said, “We wanted a more modern, simple approach. I chose Hoggo because everything is made easy for everyone, the comparison of offers is clear and the steps are done in a few minutes.
He added, “What’s more, they ensure that our employees benefit from the best guarantees at the best price every year.”
Image credit: Hoggo
CB Insights: US Insurtechs Are Competing In A Global Market
In the first half of the year, insurtech companies around the world have raised US$7.4bn, nearly doubling their funding in Q2. According to Digital Insurance, insurtechs have raised US$4.8bn in Q2—an 89% increase in funding from Q1. But US firms are no longer the sole beneficiaries.
What Are the Stats?
Out of the 15 Q2 mega-rounds—those that top US$100mn—only eight included American firms. Pretty good, you might say. That’s over half! But US companies only made up 38% of the deals, which marks a 10% drop from Q1 and a 12% drop from 2020. Technically, therefore, US insurtechs are less influential than they’ve been in the past. But who says this is a bad development?
Despite my American citizenship, I’d argue that a more globally diverse insurance market is only for the best. Many of the world’s citizens who could most benefit from improved insurance services live outside of the States—and deserve local, tech-savvy services.
Why Does This Matter?
You’re always going to see the typical insurtech contenders from Western countries. For instance:
- German-based wefox: US$650mn Series C
- UK-based Bought By Many: US$350mn Series D
- US-based Collective Health: US$280mn Series F
But it’s critical that we address risk across the world. American insurtechs might be some of the most technologically skilled firms in the industry, but it’s not their first goal to address floods in Southeast Asia, crop destruction in China, and COVID complications in South Africa. That’s why we should celebrate that the recent Q2 round included insurtechs from 35 different countries.
According to CB Insights’ Q2 2021 Quarterly InsurTech Briefing, this was the first time that they’d observed insurtech activity in Botswana, Mali, Romania, Saudi Arabia, and Turkey. And ‘from a product, service, distribution, and underlying risk perspective, we—as a society and as an industry—are moving at an unprecedented speed’, says Dr. Andrew Johnston, Global Head of Willis Re InsurTech.
Just ask CB Insights. InsurTech value propositions have resonated with the world.