Commercial auto Insurtech Cover Whale is a leading solutions provider for agents and brokers, with over $100M in written premiums. New York-based commercial auto insurance tech Cover Whale announced that it has passed the US$100 million milestone in written premiums. The technology-driven solution provider offers agents and brokers significantly faster and smoother services than existing traditional insurance companies.
Insurtech was founded in 2019 and made headlines last year after rapid scaling and partnership with Quantum Assurance International. During this time, reports suggest Cover Whale has quietly transformed the world of commercial auto insurance by providing agents and brokers with cutting-edge offerings and prompt customer service. Shortly after its launch, the company also modified its traditional insurtech fundraising, service first, then service booklet to meet the urgent needs created by the pandemic. Cover Whale's foundation of technology, data, and machine learning analytics has disrupted the commercial auto segment, bringing a future-proof and continuous underwriting model to the market. Currently, the company's customer base has grown almost 400% in the last 12 months.
Strategy to scale Insurtechs
Cover Whale hasn't given up on its aggressive expansion plans. They announced a $15.5 million seed round in October 2021, the largest North American insurtech seed fund to date. As of April 2022, the company also offers products that are not accepted in most of the US, and has recently started offering products that were accepted in Florida and Georgia, as well as North Carolina, South Carolina and Nevada in the coming weeks. Executives say Cover Whale's strategy is based on a two-pronged approach. First, insurtech offers agents and brokers services that are aligned with the latest insurtech innovations in terms of speed and flexibility. The company also advises policyholders on safe driving practices, leading to a lower risk scenario.
Speaking about Insurtech's recent milestone, Kevin Abramson, President of Cover Whale said, "As far as we know, we are Insurtech's fastest growing $100 million in less than two years. Perhaps even more impressive is the idea of offering market-leading loss rates to our carrier partners. InsurTech. "2.0 is about driving hypergrowth, but not at the expense of profitability. And we encourage all our policyholders to become better drivers by coaching them on simple ways to improve road behavior and make roads safer." This coaching is based on real-time telematics and driver behavior.”
Cover Whale CEO Dan Abrahamsen said that while other insurtechs wait until seed funding to provide services, their strategy is to build the software and start delivering products and services as the market demands; “In March and April 2020, the world was learning how to work and shop from home, creating an urgent demand for more trucks on the roads. While traditional insurance providers still require agents and brokers to wait days or even weeks for a price or discount, Cover Whale He managed to tie his driver's policies in a very small fraction of that time."