Honeycomb, a digital insurance provider serving multifamily property units, announced today receiving approval to write policies in Texas, according to a press release.
It says that as a result of the approval granted by the Texas Office of the Commissioner of Insurance, it will now serve owners and landlords of apartment buildings, condo complexes and multifamily homes in the state.
The expansion news follows Honeycomb’s recent $15.4 million Series A and will help the insurtech scale its technology across the U.S.
The company says its technology utilizes satellite imagery, computer vision, AI and machine learning to eliminate the need for on-site assessments, and provides landlords, homeowners associations and brokers with a faster quotes process moving forward.
The company says the occupancy rate in Texas for multifamily properties is among the highest in the nation, and noted that the approval enables it to serve a commercial property insurance market that “continues to lag significant in its adoption of digital technology.”
“We’re looking forward to helping Texas landlords, home and condo associations, and owners overcome the friction they encounter when seeking insurance,” stated Itai Ben-Zaken, Honeycomb cofounder and CEO, in the release.
While primacy should be adapted to each financial institution’s needs, the industry needs standardization, which can only start with data. One of a bank’s greatest assets is the intelligence they have from a client’s transaction data.
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Honeycomb says that the U.S. multifamily housing market is worth an estimated $26 billion, and stated it is the first insurance provider to offer this segment market data-driven applications that accelerate the process of purchasing and pricing policies.
“There are hundreds of thousands of multifamily housing units in the state that can benefit from technology that produces real-time bindable quotes and more robust underwriting at a lower cost than previously possible,” Ben-Zaken said.
Occupancy rates in key markets include 91.6% in Austin, 92.2% in San Antonio, 90.9% in Dallas-Fort Worth and 91.4% in Houston.
Founded in 2019, Honeycomb began writing insurance policies in the U.S. in June 2021. It insures more than $1 billion in real estate assets and now operates in seven states including Illinois, Arizona, Michigan, Wisconsin, Ohio, Pennsylvania and Texas.
The insurtech now has offices in Denver, Chicago, San Francisco and Tel Aviv, and also stated plans to launch in seven more states and cover 60% of the country this year.
Honeycomb’s investors include IBEX Investors, SiriusPoint Ltd., Phoenix Insurance, New Era Capital Partners, IT-Farm Corporation, Sure Ventures and Distributed Ventures.
In other recent proptech news, Fractional home-equity lender Point raised a $115 million Series C. Courted.io also raised a $6 million seed round for its agent network and joined the NAR-backed REACH Program.