HealthTech startup Air Doctor secures $20m in Series B funding & Honeycomb secured the biggest US InsurTech deal in H1 as deal activity in the country

Top Story of the Week

HealthTech startup Air Doctor secures $20m in Series B funding

Air Doctor, an Israeli HealthTech startup providing a platform that connects travellers with medical professionals globally, has raised $20m in a Series B funding round.

Read the full story here.

Research Highlight

Honeycomb secured the biggest US InsurTech deal in H1 as deal activity in the country dropped by 43%

In H1 2024, the US InsurTech sector saw a drop in both deal activity and funding. Only 53 deals were recorded during the first six months of 2024, marking a 43% decrease compared to the 93 completed in H1 last year. Funding also saw a steep decline, with InsurTech companies raising just $0.5bn during the first six months of 2024, a steep decline of 78% from the $2.3bn raised in H1 2023. If deal activity continues at the rate recorded in the first six months of the year, the projected total for 2024 would be 106 transactions, a 30% decrease from last year’s total of 153.

The top 10 deals in H1 2024 within the U.S. InsurTech sector were spread across five states, with California and New York emerging as the dominant players. California secured three top deals, a decline from the five it had in H1 2023, while New York increased its share, rising from two top deals in H1 2023 to three in H1 2024. Illinois also saw a notable increase, securing two top deals compared to one in the previous year. Wisconsin and Ohio made their first appearance in the top 10 list, each securing one top deal, while Texas and Georgia, which each had one top deal in H1 2023, were absent from the H1 2024 list. This shift suggests a broadening distribution of significant InsurTech deals across more states, with new entrants like Wisconsin and Ohio signalling growing activity outside traditional hubs like California and New York.

Honeycomb, a leading digital insurer specializing in property and casualty (P&C) coverage for landlords and condo associations in the U.S., has secured the biggest InsurTech deal in the country for H1 2024 with a $36m Series B funding round. The round was led by Zeev Ventures, with new investors Arkin Holdings and Launchbay Capital joining existing backers Ibex Investors, Phoenix Insurance, and IT-Farm. Honeycomb leverages cutting-edge technologies, including AI, computer vision, and aerial imagery, to underwrite risks with precision and in real time, driving rapid growth of 200-300% year over year. Headquartered in Chicago with offices across the U.S. and in Tel Aviv, Honeycomb now operates in 16 of the largest states, covering around 60% of the U.S. market and insuring over $21bn in real estate assets. With this new capital, the company plans to double its workforce to 180 employees within the next 18 months, further enhancing its proprietary AI-driven technology that offers bespoke insurance coverage, streamlines the customer and broker experience, and adapts to the evolving needs of its clients.InsurTech Deals

Funding Rounds

• Whatfix lands $125m Series E investment led by Warburg Pincus – Whatfix, a global leader in digital adoption platforms (DAPs), has secured $125m in its Series E funding round, as it looks to expand its product suite. Read the full story here.
• Jakarta-based InsurTech Rey secures $3.5m funding round - Jakarta-based InsurTech startup, Rey, has secured an additional $3.5m in funding as it seeks to expand its AI-powered health insurance platform. Read the full story here.
• Spanish InsurTech startup Tuio raises $16.7m to accelerate growth – Madrid-based InsurTech startup Tuio has raised $16.7m in a funding round that combined equity and debt, as it looks to enhance the service it provides to its clients. Read the full story here.

Product Updates & Launches

• EXL launches insurance specialised LLM to transform underwriting – EXL, a leading data analytics and digital operations solutions company, has unveiled the EXL Insurance LLM, a new large language model (LLM) designed to transform critical tasks in the insurance sector, such as claims and underwriting. Read the full story here.
• Earnix unveils new platform to combine pricing optimisation and credit risk decisioning – Earnix, the global leader in intelligent SaaS solutions for financial services, has launched an advanced AI platform that is set to combine pricing analytics with automated credit risk decisioning. Read the full story here.
• Insurity unveils AI-powered platform to boost data accuracy and efficiency for insurers and MGAs – Insurity has introduced a new product, powered by OIP Robotics, designed to enhance the accuracy and efficiency of data extraction for insurers and MGAs. Read the full story here.

InsurTech Partnerships

• The Open Carbon Protocol partners with Kita to boost transparency in carbon credit markets – The Open Carbon Protocol (OCP) has announced a strategic partnership with Kita to improve the credibility and integrity of carbon credit transactions. Read the full story here.
• Quantee collaborates with Agria to revolutionise pet insurance in Sweden and beyond - Quantee, a dynamic provider of pricing solutions, is set to help Agria achieve pricing excellence throughout its next stage of growth in Sweden and across Europe. Read the full story here.
• Blink Parametric and Travel Insurance Saver launch real-time flight delay service – Blink Parametric, a provider of innovative real-time insurance solutions, has partnered with Travel Insurance Saver to launch a parametric flight delay solution designed to enhance the customer experience by providing immediate assistance for travel disruptions. Read the full story here.

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The InsurTech100 is an annual list of 100 of the world’s most innovative InsurTech companies selected by a panel of industry experts and analysts. These are the companies every leader in the insurance industry needs to know about as they consider and develop their digital transformation strategies.

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People News

• Saudi Re appoints new CEO as it looks to reinforce its competitive position – Saudi Reinsurance Company (Saudi Re), a leading reinsurer in the Middle East, has appointed Ahmed Al-Jabr as its new chief executive officer (CEO), effective from 1st October 2024. Read the full story here.
• RT Specialty announces swathe of leadership team appointments – RT Specialty, a leading wholesale distributor of specialty insurance products and services, has announced several leadership team appointments effective October 1, 2024. Read the full story here.
• Zywave unveils new CEO and CFO – Zywave, a leading provider of SaaS InsurTech solutions for sales management and client delivery enablement, has announced a new CEO and a new CFO as part of a widespread leadership change. Read the full story here.

Other InsurTech News

• Ushur enhances customer experience with new end-to-end solution for insurance carriers - Ushur, a leader in AI-powered Customer Experience Automation (CXA), has announced the launch of its new end-to-end solution designed specifically for insurance carriers offering group and worksite benefits. Read the full story here.
• How AI is streamlining short-term disability management and reducing costs – The short-term disability (STD) claims process presents significant challenges for both carriers and benefits administrators. These inefficiencies primarily stem from reliance on outdated, manual processes like live calls, physical forms, and antiquated methods for capturing necessary documentation. Such approaches are not only resource-intensive but also create frustrating experiences for employees and employers alike. With client satisfaction and retention becoming ever more crucial, carriers are increasingly turning to new technologies to resolve these bottlenecks, as customer experience specialists Ushur explain. Read the full story here.
• Hippo expands homebuilder access to New Homes Program in key states – Hippo, a home insurance group focused on proactive home protection, has announced the expansion of its New Homes Program to home builders in California, Florida, and Texas. Read the full story here.