Insurtech Cuvva raises £15m
Insurtech firm Cuvva has raised £15m in funding.
The London firm offers a platform for short-term insurance on personal cars, learners, van, taxi, and travel.
It will use the new funding – the largest it has ever secured - to build out its team with new engineers, developers, marketeers, and customer operations.
It said it expects its team of 80 to double in size over the next 18 months.
The start-up sold its first policy in 2016, when it offered short term car or ‘pay-as-you-drive’ insurance.
It has now expanded into the insurance market at large, and claims it has sold more than 40 million hours of insurance and has over 250,000 customers.
It is planning to launch a pay-monthly insurance product next year.
The firm had previously raised a total of £2m over three early investment rounds which included Seedcamp, LocalGlobe and Techstars.
New investors in this latest round include RTP Global, Breega and Digital Horizon, who joined the previous investors.
Freddy Macnamara, founder of Cuvva, claimed the firm is now responsible for three per cent of the UK’s motor insurance policies.
“The way insurance is sold hasn’t kept up with the way people live their lives now,” he said.
“We buy lots of goods and services via flexible subscriptions to suit our on-demand lifestyles. Why shouldn’t you be able to do that for insurance?
“I started Cuvva when I couldn’t find flexible insurance to help me share my car. Four years on from launch we are still discovering how big the problem we are solving really is.”
In October the firm appointed the chairman of Lloyd’s of London, Bruce Carnegie-Brown, as its chair.
Anton Inshutin, managing partner at RTP Global said the insurance industry across Europe was ready for a fresh approach.
“The UK has a long history of initiating change in the way that insurance is sold and Cuvva has devised a product that has incredible appeal for a new generation of car owners and borrowers,” he said.
“We are thrilled to be able to begin this journey to build a whole new way of buying insurance with Freddy and the team.”