London-headquartered Insurtech platform INSTANDA has completed a $19.5m (£15m) Series A fundraising round, the company has announced.
Its customer engagement platform, designed for the insurance industry, hopes to trump the current legacy IT systems with a ‘no code’ solution which anyone can use.
The latest round was led by Assembly Capital Partners, and the resulting investment will support the firm’s international expansion in the US, Europe, Asia and Latin America.
The firm, which has a second UK office in Cambridge, also operates in in the USA, Chile, Japan and Australia and has 50 clients which include AXA, Hisco, Aviva and Zurich.
Tim Hardcastle, INSTANDA co-founder and CEO previously served as CIO of UK insurance firm Hiscox from 2005 to 2006 before becoming founding parter of London-based F2X Group, which owns INSTANDA.
He said many insurers still rely on IT system which ‘belong in the history books’.
“We experienced first-hand how the industry was being held back by monolithic, third-party IT systems that add layers of complexity, cost and confusion, and we wanted to change that,” he said.
Michael Baptista of FinTech-focussed VC Assembly Capital Partners, an early investor in the company and board member, said that INSTANDA was one of only a few InsureTech firms in the media which was a ‘genuine innovator’.
“The founding team identified a challenging but huge opportunity, has delivered and can now focus on scaling. INSTANDA frees insurers from inflexible legacy tech and from high-risk, high-cost, multi-year change programmes.
“It gives them the agility to price risk in ways that meet client needs in a changing world. “INSTANDA addresses a significant part of the value chain with astonishing metrics. Across both P&C and Life and Health in multiple countries, INSTANDA is one of the most promising insurtech businesses on the market.”