Insurtech Vouch announced the closure of a $25 million Series C-1 funding round, led by Ribbit Capital.
The round was oversubscribed and follows a year of strong business performance, including 66% year-over-year revenue growth and favorable loss ratio outcomes.
This growth trajectory is supported by an annual premium retention rate of over 120%, alongside improving margins across the business.
Vouch offers a range of products tailored to the risks that startups face, from early-stage to growth and beyond. The offerings include general liability, business property, directors and officers insurance (D&O), employment practices liability insurance (EPLI), and cyber insurance, among others.
Recognizing that traditional insurance products often don’t meet the specific needs of startups, Vouch has designed its services to be flexible, scalable, and straightforward, allowing for rapid onboarding and adjustments to coverage as a company grows and its needs evolve.
2023 was a landmark year for Vouch, driven by our investors’ belief in our mission. We’re one of the few companies in our market that has achieved our goals despite industry headwinds, balancing pursuit of our big vision with strong business performance
Sam Hodges, Co-founder and CEO of Vouch
“Most importantly, we’ve been there when our clients need us most, successfully resolving hundreds of claims – many of which are complex and potentially company-limiting – totaling many millions of dollars”, Sam Hodges, remarked.
This additional equity funding enables to expand insurance product set and distribution channels and also to continue investing in Vouch technology platform.
In 2023, Vouch also increased its reinsurance panel from four to seven partners and accelerated its pace of insurance innovation, including the launch of AI Insurance, a first-of-its-kind coverage that mitigates nascent AI risks including LLM hallucinations, regulatory mistakes and intellectual property issues.
Vouch Horizon, the company’s solution for scale-stage startups, continues to win marquee accounts
Vouch has invested significantly in its team, adding over 70 employees since 2022.
Additionally, the company strengthened its leadership with strategic appointments, including Jared Klee as Head of Sales (previously of IBM Watson), Clark Kays as Head of Demand Generation (formerly of Marsh McLennan), Suzanne Robinson as Head of Claims (formerly of Travelers), Meg Glenn as Head of Actuarial (formerly of Clear Blue) and Mike Gorlin as Head of Underwriting (formerly of Zurich).
As Vouch embarks on this next phase of growth, the company remains dedicated to delivering cutting-edge insurance solutions that meet the unique needs of the technology sector.
Vouch’s platform simplifies the insurance process, making it easier for startups to manage insurance policies through technology-driven solutions.
In addition to providing insurance, Vouch also supports the startup community with resources and guidance to manage risks more effectively. Insurtech offer risk assessments, educational content, and hands-on support to help startups understand their exposure and how to mitigate it.
by Peter Sonner
