Insurtech Department joins unicorn membership with Sequence C infusion
Ohio-based insurtech start-up Department, which bundles dwelling and auto insurance coverage, has raked in $147m in a Sequence C spherical at a valuation of $1.05bn.
The spherical was led by Weatherford Capital, who was joined by Anthemis, Tower IV, Narya, SignalFire, Greycroft, HSCM Ventures, Acrew, AmFam Ventures, and Gaingels.
Department plans to make use of the capital for expediting its nationwide launch.
At present, the insurtech has a presence in 28 states, having expanded into 9 new states thus far this yr.
Utilizing the funding, the agency additionally plans to scale its distribution technique masking company, embedded, and direct channels.Weatherford Capital principal David Seider mentioned: “For too lengthy, the insurance coverage trade has been suffering from an excessively costly method to buyer acquisition, driving up the worth of insurance coverage.
“Department’s mannequin helps to make sure insurance coverage is accessible for all.”
Launched in 2019, Department claims to make dwelling and auto insurance coverage frictionless by leveraging expertise, automation and information.
It has tie-ups with trade gamers resembling Homepoint, OpenRoad Lending, and SimpliSafe, amongst others.
In February this yr, the insurtech partnered with Everspan Insurance coverage Firm, making the latter its coverage underwriter in 11 US states.
Over the previous one yr, Department is alleged to have posted a 1300% year-on-year surge in annualised written premium and a 400% leap in workers headcount.
The agency raised $50m in Sequence B funding led by Anthemis Group a yr earlier.
A public advantages company, Department additionally runs a reciprocal trade, serving to policyholders turn into the precise homeowners of coverage premiums.
Department cofounder and CEO Steve Lekas mentioned: “We consider that by reintroducing the ability of neighborhood by means of information and expertise, we will decrease the price of insurance coverage whereas restoring it to its unique intent: a power for communal good.”