Luzern Risk, a captive insurance manager focused on alternative risk solutions, has closed a $45m Series B funding round.
The company builds AI-native technology designed to shorten the time it takes to set up and run bespoke captive programmes at scale, as businesses look for more control over rising and unpredictable insurance costs.
The round was led by Insight Partners, with additional backing from Trust Ventures and returning investor Caffeinated Capital. Caffeinated Capital has now backed the company through three rounds, having led its 2023 seed and its $12m Series A in 2025.
Captives are regulated insurance entities owned by their parent organisation, allowing businesses to design tailored coverage, keep underwriting profit and build up surplus rather than absorbing volatile premium costs. Around $240bn in gross premium currently flows through captives globally, roughly a tenth of the total property and casualty market, and the model is spreading beyond the large multinationals that have traditionally used it.
Luzern Risk works with brokers, fronting carriers, reinsurers and advisors to meet that demand, with its platform underpinning relationships across a client base that spans mid-market firms and large listed companies. The business said revenue has climbed sharply year on year as demand for its offering has grown.
The new funding will be put towards three priorities: further development of the platform and its AI capabilities to sharpen risk insight and service delivery; standardising internal operations to cut turnaround times on complex, specialised work; and widening the range of options clients can access across the alternative risk value chain.
Luzern Risk CEO and Co-Founder Gabriel Weiss said, “We set out to make captives more accessible to a broader set of the market, and everything we have learned since has strengthened our conviction that captives will play a far bigger role in risk management than they do today. This investment lets us do what we care about most: deliver better outcomes for our clients, at a much greater scale.”
Luzern Risk CTO and Co-Founder Jonathan York said, “This is a space where technology can have an outsized impact for clients.
“Every process we automate makes a captive more efficient to run while increasing quality, and every capability we add gives owners something they could not get before. The feedback we hear from our clients as we co-develop solutions with them gives us confidence we’re onto something that will be great for insurance industry-wide.”
Insight Partners Managing Director Philine Huizing said, “The captive market is undergoing a structural expansion, moving from a tool reserved for large multinationals into a viable strategy for a much broader universe of companies. Luzern is building the infrastructure layer that makes that expansion possible. We backed this team because we believe they are defining how risk finance gets done, and we’re excited to support them in this next phase of growth.”
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