Digital insurer Honeycomb Insurance has raised an additional $40m in funding as it looks to expand its geographical footprint, enhance its underwriting technology and broaden its product offering.
The round was led by Zeev Ventures, with participation from existing investor Ibex Investors and new investors Peakline, Alpha Partners, Meitar Partners, Practical VC and former San Francisco 49ers player Harris Barton.
The latest investment brings Honeycomb’s total funding to $95 million.
Founded to serve apartment buildings and condominium associations, Honeycomb has positioned itself as an AI-driven insurer focused on commercial real estate risks. The company said the new capital will be used to accelerate expansion into additional states, improve agent-facing tools and further develop its proprietary underwriting platform.
The funding follows a year of growth for the business. Honeycomb said it exited 2025 with Gross Written Premium (GWP) of $275 million, while also expanding its geographic reach, product portfolio and total insured value across its platform.
The commercial property insurance market has faced growing challenges in recent years, with insurers under pressure to improve risk selection amid rising catastrophe losses and changing market conditions.
Honeycomb’s underwriting platform uses artificial intelligence, proprietary risk models and property-level data to assess risks individually rather than relying on broader portfolio-based approaches.
According to the company, the platform analyses hundreds of structured and unstructured data points for each property, including geospatial information, environmental data, building characteristics and historical performance. It also uses high-resolution imagery and AI models to support underwriting decisions.
Itai Ben-Zaken, co-founder and chief executive of Honeycomb Insurance, said:
“We are building Honeycomb to be the category leader in commercial real estate insurance.
“We didn’t add AI to a legacy offering. Our platform is centered on proprietary data and AI models to underwrite each property individually, with competitive and fair pricing and terms. This funding accelerates our expansion into new states and new product lines as we move toward that goal.”
Honeycomb currently operates in more than 20 US states and said its technology enables it to manage exposure, monitor catastrophe concentrations and adjust underwriting decisions as market conditions change.
Oren Zeev, founding partner at Zeev Ventures, said:
“Honeycomb has built something I rarely see – an insurance company that has scaled rapidly while maintaining a lean operation.
“That combination is exceptionally rare in insurance, and it reflects the strength of both the team and the technology. The commercial property market is massive, underserved by legacy carriers, and Honeycomb is uniquely positioned to become a category leader.”
Investment in AI-focused insurance technology firms has continued despite broader uncertainty across venture capital markets, as insurers seek new ways to improve underwriting accuracy, operational efficiency and risk management.
