Something interesting has happened. After years of displaying little interest, venture capitalists now see insurance startups as a tantalizing investment target.
Executive Summary
Venture capital interest in the insurance space has grown substantially, in part due to changing consumer buying patterns and the failure of many traditional insurers to embrace innovation, say executives from Munich Re/HSB Ventures and Stratim Capital.What’s more, venture investor interest in this space has grown substantially. In 2010, six InsurTech companies attracted just under $24.8 million in venture funding, according to the National Venture Capital Association and its data partner, PitchBook. Venture financing levels in the sector have generally grown steadily and rapidly since then, surpassing $1.3 billion in 2015 for 55 deals and hitting $1.28 billion for 53 deals in 2016. As of late October 2017, the funding level was at more than $816 million.
