Next Insurance which is an Israeli startup gets a seed funding of $13 million led by Zeev Ventures, TLV Partners and Ribbit Capital. The insurance company plans of launching the go-to solution for small businesses on how to look and acquire insurance online.
It was founded by Alon Huri, Guy Goldstein and Nissim Tapiro. The three persons were executives at Check, a mobile payment company and was acquired in 2014 by Intuit for about $400 million. It plans to change the way insurance market works which values at $1 trillion yearly in the US alone having nearly $100 billion in small business insurance accounting.
In the US, there are 28 million small businesses and every month, five hundred thousand operates. The procedure of getting insurance which should be simple and not complicated is still antiquated and complicated for the small businesses that chiefly work with insurance agents at brick-and-mortar clearinghouse, as cited by Globes.
Zeev Ventures has been the major early supporter of market leaders including Audible and Houzz. Israeli Venture Capital fund TLV Partners commit to investing in introductory A-round startups. TLV's notable Israeli venture capitalist have supported companies such as Varonis, Check and Videosurf to name a few. Ribbit Capital on the other hand, is a venture capital firm that invests worldwide in individuals and brands uniquely targeting to alter financial services, reports PE Hub Network.
"Next Insurance has secured an unprecedented amount of initial funding, but that reflects the scope of this opportunity," said Zeev's founding partner Oren Zeev. "Small business insurance is one of the largest and most profitable industries in our economy, and it has hardly been touched by disruptive technology."
The startup has considered of using the funds to roll out its insurance sales platform this spring for small businesses where a market has "99% of small commercial insurance is sold offline through agents", according to Venture Beat.
With the raised amount from seed funding, Next Insurance will be able to assist small businesses to find and obtain insurance online the fast and easy way without any complicated procedures.
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