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Next Insurance Raises $250 Million for Small Business Insurance

Next Insurance Raises $250 Million for Small Business Insurance

Online insurance company for the self-employed Next Insurance just closed a $250 million investment round. The funding marks the company’s second $250 million investment received in the past seven months.

Investors include FinTLV Ventures and Battery Ventures, which led the round, with participation from CapitalG, Group 11, Zeev Ventures, Founders Circle, and G Squared.

With its total funding now at $881 million, Next Insurance’s valuation now sits at $4 billion. This figure is double the $2 billion valuation assigned to the company last September.

The valuation boost is well-deserved. In the past six months, Next Insurance announced two acquisitions, added new strategic partners, and doubled its gross written premium (for those not in the insurance industry, gross written premium is essentially the total amount customers pay for insurance coverage).

Since it was founded in 2014, Next Insurance has boosted its client base to more than 200,000. The company leverages machine learning and a purely digital approach to drive costs down by up to 30% in comparison to traditional policies.

“This latest round of financing is a validation of our vision which is to make it dramatically easier for small business owners to get the insurance coverage they need by removing friction from the customer experience,” said Next Insurance Co-founder and CEO Guy Goldstein. “It starts with developing a comprehensive digital product portfolio under one roof, continues with leveraging technology that improves the customer experience, and ends with a network of integrated partnerships that bring policy purchasing to the customer within the systems they already use.”


Photo by Alex Nemo Hanse on Unsplash