Boston-based insurtech startup Corvus Insurance has scooped up $100 million in a Series C round led by VC firm Insight Partners. The round lifts the valuation of the commercial insurance provider to $750 million.
As part of the round, Deven Parekh, managing director of New York City-based Insight Partners, will join the board of directors at Corvus Insurance. David Spiro, principal of Insight Partners, will be a board observer.
So far, Corvus has raised $147 million, including a $33 million Series B round announced last year. Aside from Insight Partners, investors in Corvus include Telstra Ventures, Obvious Ventures, .406 Ventures, Bain Capital Ventures and Hudson Structured Capital Management.
“Commercial insurance is in the early stages of embracing data science and AI to better distribute and underwrite policies,” Parekh said in a March 10 news release. “Corvus is leading the way by building a foundation in cyber insurance with a world-class team, transformative product and ambitious vision.”
Founded in 2017, Corvus Insurance employs AI, machine learning and data science to help insurance professionals predict and prevent policyholder risk for commercial insurance, most notably cyber-insurance policies. Corvus says its technology lets policyholders, brokers, underwriters and reinsurers incorporate data science into the commercial insurance market. The U.S. market generates more than $400 billion a year in premiums.
“During these times of unprecedented cyberattacks, we are arming brokers and their policyholders with the most intuitive tools and capabilities to mitigate risks for companies of all sizes. With the biggest fundraising round of a cyber-insurance company to date, we will continue to realize our vision in making our world a safer place,” Phil Edmundson, founder and CEO of Corvus, said in the news release.
Corvus ended January with an annual run rate of $120 million in premiums and grew its gross written premiums by 250% in 2020.
On the heels of that success and the $100 million in funding, Corvus plans to double the size of its workforce in 2021, with an emphasis on filling data science and machine learning jobs. Today, Corvus employs 140 people. Its headcount grew 172% last year.
“Corvus is uniquely positioned to acquire a significant share of the commercial insurance market due to our software, data science playbooks and team,” Mike Lloyd, co-founder and chief product officer of Corvus, said in the news release. “Our proven ability to extract actionable insights from novel data using AI and then apply those insights to improve our underwriting, the broker-client experience and loss prevention for our policyholders will enable us to continue to grow in a fast and scalable way across many product lines.”
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