House of Insurtech has secured £400k in a seed round led by SFC Capital and supported by follow-on funding from its existing angel investors.
The funds will be used to build out the sales and marketing arm of the business and to onboard new customers from the direct and embedded insurance markets onto House of Insurtech’s Insurforce platform.
This funding comes as the worldwide insurance market continues to enjoy significant growth, with the insurance software market alone estimated to be worth $7bn a year.
The UK is particularly well-positioned to benefit from this growth as the largest insurance market in Europe and fourth largest worldwide.
Insurforce is a cloud-based Quote and Buy and Policy Administration system that empowers digital transformation for Insurers, Brokers and MGAs. It features a flexible and responsive web app built on top of an innovative rating and underwriting API. Core to the service is a rating engine that is accessed from a client’s website allowing complete freedom in designing the customer interactions and journey.
Software-as-a-service offerings such as this help the insurance industry to introduce new products and to innovate without the traditional up-front capital expenditure.
The low startup cost allied with a simple, usage-based monthly subscription changes the economics of new products, while opening up opportunities for new and specialist products to be market tested.
James Downes, founder and CEO of House of Insurtech, commented: “We’re incredibly excited to have SFC Capital on board. Their support and guidance throughout this seed round has been invaluable, we are also delighted that several of our existing investors have joined them in this round.”
Edward Stevenson, Investment Executive at SFC Capital, said: “We are pleased to have led House of Insurtech’s latest funding round. The team has built a fantastic platform aimed at a significant and sizable market that is in need of innovative and disruptive solutions. We are excited about what the future holds for the company.”