american insurance The technology market is hot, and has been for years now. In early 2020, to take one example, Nerdshala reported on a wave of funding incidents among domestic insurtech marketplaces. Those companies have since raised hundreds of millions of dollars more.
And after a long period of incubation, we’ve seen neo-insurance players like America’s Route and Metromile go public. Hippo is working to join the group.
Read it every morning on Extra Crunch or get the Exchange newsletter every Saturday.
Hence, Insurtech is proving itself in the states from the point of view of venture capital activity, startup growth and exit. Even though growth is the name of the game in insurance technology and profits are often low.
What about other markets? A recent Wefox round caught the eye of The Exchange. The $650 million InsurTech round will have caught our attention, regardless of its location. But seeing a European insurance technology startup take that amount of cash made us wonder whether the same amount of money exists for an EU market insurtech startup as we’ve seen here in the US.
Eventually, with a business-focused neo-insurance provider Broker raising a big round this week In the United States, to take one example, it seems like it’s good startup game to attack the massive and pristine insurance market. Why wouldn’t that concept apply to Europe?
To learn more, we reached out to several vice chancellors in Europe to hear their perspectives on what’s happening on the ground, including those from India excel, astoria.vc and Insurtech Gateway. To get us off the ground, we rounded up the biggest recent rounds from the EU insurance technology market. let’s go!
A Quick Note on the Insurtech Exit
Venture capitalists and startup founders get paid on generating exits. Recently, there have been several IPOs appearing out in the space.
The older a startup gets, the more it has to deal with public market investors. Crossover funds and the like made their appearance before Unicorns went public. And then the former startup has to pitch to the public markets, not the venture capital market. This is a different game.
Looks like The Exchange chatted with Root’s CEO, Alex Tim, This earning cycle. He noted that public tech-focused investors don’t always grasp the insurance elements of their business, while insurance investors don’t always understand the technical side of the route.