WeFox is planning to raise $250m in a new funding drive
The Berlin-based digital platform that connects insurance providers, distributors and customers, enterprise which was founded in 2014 and is already the biggest provider of its kind in Germany.
The news follows on from the insurtech’s recent announcement that it was launching a new digital security app as part of its expanded offerings. The new product, which is being developed by a team of experts working from Paris, who were hired from the Korean technology behemoth, Samsung.
Wefox is backed by Samsung, and says it predicts the new product will be ready to go live in 2022.
New funding for WeFox
Currently, reports reveal WeFox is in advanced negotiations with a syndicate of investors with a plan to raise £250m. Sources suggest that the German-based fund Target Global, which backed the mobility app startup Lyft and Delivery Hero, will lead the funding round with an estimated $100m stake.
Other investors include Chrysalis Investments and Omers Ventures, with a confirmatory announcement of the funding round expected next month.
WeFox has seen unprecedented growth since its launch in 2014. The German insurance technology startup predicted it would achieve reinsurance in 2021 of $365m. In December 2020, WeFox also launched its new services in Switzerland and has recently acquired a license to operate in Poland, as well as plans to bring new products and services to the Italian market.
WeFox is considered one of just a handful of enterprises that are disrupting the status quo and its revenue is predicted to double in 2021. To date, the insurtech has sold more than 500,000 policies to its 350,000-strong customer base via its platform, ONE, which plays host to 3,500 brokers.
The funding round is likely to see the insurtech’s valuation close at $2bn, and sources say the funding round will be the company’s final push before it goes for an initial public offering.
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