PriyaPatel
TLDR:
Key Points:
- Coverdash, a NYC-based embedded insurance startup, raised $13.5 million in VC funding.
- The startup offers insurance products to SMEs through partnerships.
Article Summary:
Coverdash, a New York-based embedded insurance startup, has raised $13.5 million in VC funding. The company focuses on offering insurance products to SMEs through partnerships with companies like payroll providers, POS providers, banks, lenders, and vertical SaaS platforms. CEO Ralph Betesh highlighted that the traditional direct-to-consumer insurance distribution model is costly and can take years to break even. Coverdash’s model relies on partnerships to reduce customer acquisition costs and tailor offerings to meet customer needs. The Series A funding will be used to scale the team, specifically hiring insurance account managers, brokers, and expanding partnerships.
The $13.5 million Series A round was led by Nyca Partners, with existing investors like Bling Capital, AXIS Digital Ventures, Tokio Marine Future Fund, Expansion VC, and Cameron Ventures also participating. This fundraising round followed a $2.5 million seed round in January 2023. Coverdash plans to use the new funding to support its growth and expansion within the embedded insurance tech sector.
