InsurTech startup Bolttech raised $180m in a funding round, led by private investment firm Activant Capital Group, which valued it at more than $1bn.
The round was also joined by investors including Tony Fadell – Principal at Future Shape, Alpha Leonis Partners, Dowling Capital Partners, B. Riley Venture Capital and Tarsadia Investments.
The proceeds will be used by the company to accelerate its growth and bolster its presence in the US. Funds will also be used to enhance technological and digital capabilities.
The New York and Singapore-based company’s online platform serves as a matchmaker between insurance companies, allowing them to offer customers products that may not be in their area of specialisation.
Highlighting the key woes in the insurance industry, Bolttech’s CEO Rob Schimek said that insurance providers spend billions of dollars a year on advertising to bring in customers, some of whom may want financial products which are not in the providers portfolio. In that case, providers can use bolttech to offer additional products. This helps partners avoid missing out on sales opportunities and can diversify their revenues with additional products.
Bolttech offers more than 5000 products, has 150 insurance providers across 14 countries and $5bn worth of insurance premium has been transacted through the platform.
Bolttech also allows non-insurance companies to offer insurance products to customers and individuals and small businesses can buy insurance directly through the platform.
As part of the deal, Activant partner Richard Benson-Armer will join bolttech’s board of directors.
Activant founder and partner Steve Sarracino said: “The scale and breadth of bolttech’s platform makes them a clear leader in InsurTech and an enabler for the industry at large, and we’re incredibly excited to partner with Rob and the global team as they redefine what’s possible in insurance.”
“The brilliance is that the insurance exchange, it’s never really been done properly and everyone held on so tightly to the customers and wouldn’t sell other people’s insurance and that’s really just started to change.”
Earlier this year, the company partnered with Vietnam-based e-commerce platform Tiki and added phone protection for Samsung in Hong Kong and Malaysia.
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