FloodFlash, an insurance platform focused on risk of flooding, has collected £1.9m in its seed funding round.
Participation to the round also came from LocalGlobe, Pentech Ventures and InsurTech Gateway.
UK-based FloodFlash makes flood insurance available to everyone, even those at high-risk. The company instantly pays out a pre-agreed, fixed sum when flood water reaches a pre-defined level, which is notified by the water triggering an internet-connected water-sensor.
To support high-risk areas, the company adjusts the settlement size and the trigger depth for floods – Â Its technology also analyses specific threats of flooding to help offer fair premiums.
The company, which is regulated by the FCA, is currently carrying out its live pilot for selected UK SMEs, with its policies underwritten by Everest Re, through its syndicate at Lloyd’s of London. FloodFlash is becoming a coverholder at Lloyd’s, which gives it the ability to underwrite and issue large numbers of policies.
Launch for the platform is scheduled for October 2018.
Capital from the round will be used to accelerate the nationwide launch of the platform, and for the development of an underwriting platform and IoT sensor technology. There are currently five members in its team, but plans are to double this over the next six months.
FloodFlash co-founder Adam Rimmer said, “In the immediate aftermath of a catastrophic flood, people care less about dollar-for-dollar reimbursement for damages and more about whether their business will survive at all. We want to make the world more resilient to catastrophic events and we believe FloodFlash’s event-based insurance is absolutely the best way for insurers to cover higher-risk areas.â€
The company has been working as part of the InsurTech Gateway, an insurance-focused incubator, since mid-1017.
Earlier in the year, LocalGlobe took part in the $13m funding of Tessian, which is using machine learning to transform email security.
Copyright © 2018 FinTech Global
