SAN FRANCISCO--(BUSINESS WIRE)--Vouch, after experiencing 7X customer growth year over year and doubling headcount, is now the preferred business insurance provider to Brex, Carta, and WeWork customers. As part of their continued momentum, Vouch has closed on $90 million of new funding, established its own authorized insurance carrier, and also expanded its line of insurance products.
The total capital raised gives Vouch the ability to invest in their technical capabilities, build embedded insurance with its partners and create a seamless experience for their clients. These two rounds of financing bring Vouch’s total funding to $160 million. The rounds were anchored by Redpoint Ventures, Silicon Valley Bank Capital, Ribbit Capital, Allegis Group, Sound Ventures, and SiriusPoint.
As operating climates change, startups need access to business insurance that covers emerging risks. From 2020 to 2021, Vouch also saw a change in how their startup clients’ teams were distributed; before the pandemic, 29.9% of startup teams were remote and this shifted to 53.2% during the pandemic. In response, Vouch developed a broader range of insurance coverages.
Vouch today also announces an expanded line of proprietary products and services for startups including:
- Work From Anywhere coverage— Vouch has adapted business property insurance for the modern, hybrid work environment with Work From Anywhere insurance. This first-of-its-kind coverage can insure up to $500,000 in limit per occurrence, to include specified property owned by a startup regardless of the location of that property.
- Broader cyber coverages for tech companies: With the rise of ransomware and cyberattacks on businesses, Vouch now offers a bricking endorsement, enhanced coverage for business outages caused by cyber attacks, and more comprehensive cyber crime coverage, which can cover losses due to fraud.
- Comprehensive coverages for early to mid-stage startups— Vouch expands its underwriting capabilities to serve early-stage to growth market startups.
- Embedded insurance— Vouch is developing embedded insurance to partner with startup leaders to make buying insurance more accessible for customers.
“Our recent rounds of funding ensure that Vouch can better serve startups. Today we are partnering with industry leading startups and innovators Brex, Carta, and WeWork to enable founders to scale their companies without worrying that their business coverage may fall short,” said Sam Hodges, Co-Founder and CEO of Vouch. “How can we help founders worry less about their biggest risks and focus on driving the changes they want to see? It’s our responsibility to meet startup founders where they are, and give startups flexibility as they navigate changing laws, regulations, and the virtual and physical locations of their businesses.”
Vouch Insurance Company adds three experienced insurance veterans to its board to lead the charge in helping startups manage and mitigate their risks. Cynthia Powell, former Chief Risk Officer of State Auto Insurance, Robert Byler, former CEO of Schinnerer Group (now Victor), and Mark Herman, former President and COO of CNA Specialty.
About Vouch
Vouch is a new kind of insurance platform for startups, offering fully-digital, tailored coverage that takes minutes to activate. Vouch works directly with its clients to provide insurance and help manage and avoid risks. Vouch was founded by Sam Hodges and Travis Hedge, who experienced firsthand the value of insurance coverage tailored to a startup’s needs. Vouch is backed by Index Ventures, Redpoint Ventures, Ribbit Capital, Silicon Valley Bank, and Y Combinator. Vouch has offices in San Francisco and Chicago. Learn more at vouch.us. License information at vouch.us/licenses.
