Insurtech Gradient AI, a enterprise software provider of artificial intelligence solutions in the insurance industry, has raised $56 mn in a Series C funding led by Centana Growth Partners, with participation from existing investors MassMutual Ventures, Sandbox Insurtech Ventures and Forte Ventures.
The funds will be used to support product development to continue driving innovation and efficiency in the insurance industry and to further bolster customer success and sales functions.
Gradient AI’s solutions stand out for their advanced AI and machine learning models, leveraging a vast industry data lake. This lake includes millions of policies, claims, and economic, health, and geographic data.
Insurers can thus better assess risks and improve operational efficiency, leading to higher profitability.
The new capital will enhance and develop new features for the existing product suite. It will also support the launch of new products, expanding options for P&C and health insurers.
Now it’s up to us to use this funding wisely, enhancing our platform and delivering unparalleled value to our customers. Insurers are becoming increasingly sophisticated in their risk assessment and are focused on improving their operational efficiencies
Stan Smith, CEO of Gradient AI
Additionally, the investment will fund research and development, driving AI innovation in the insurance market and reinforcing the company’s technological leadership.
“Gradient AI has an experienced executive team and products that produce demonstrable ROI for its customers which, together, have helped Gradient deliver strong financial results,” said Matt Alfieri, Partner at Centana Growth Partners.
“The company is at an important inflection point, and we are excited to partner with Stan and his stellar team. In addition to growth capital, we look forward to providing our knowledge and industry connectivity to assist Gradient in product expansion and go-to-market activities that continue to benefit customers and extend their competitive advantage.”
This funding round marks another significant milestone for Gradient AI, which has consistently delivered strong performance and customer satisfaction since its inception.
With this new investment, the company is well positioned to achieve its growth targets.
According to McKinsey, AI could deliver up to $1.1 trillion of annual value in the insurance industry. Gradient AI is uniquely positioned to be at the forefront of delivering solutions to unlock that value.
Insurers can better assess risks and increase operational efficiencies to improve profitability.
The new capital will be used to:
- Improve and develop new features and functionality for the existing product suite
- Launch new products to expand the range of solutions for P&C and Health insurers
- Invest in research and development to continue driving AI innovation in the insurance market to further extend the company’s technological leadership
Gradient AI’s solutions improve loss ratios and profitability by predicting underwriting and claim risks with greater accuracy, as well as reducing quote turnaround times and claim expenses through intelligent automation.
Unlike other solutions that use a limited claims and underwriting dataset, Gradient AI’s software-as-a-service (SaaS) platform leverages a vast industry data lake comprising tens of millions of policies and claims. It also incorporates numerous other features including economic, health, geographic, and demographic information.
