Q3 Startup Quarterly Highlights
INSURANCE TECHNOLOGY
November 2017
Quarterly insurance technology highlights
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This brief overview of the insurance technology sector provides three sections
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Sector Summary
Macro-level views on the state of the insurance
technology sector
Latest Activity
Major funding and exit events from the previous
quarter
Category Discovery
Deep dive into a single insurance technology
category
Sector Summary
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INSURANCE TECHNOLOGY
14 Categories
1,422 Companies
$19B Funding
Sector stats are continuously changing, data cumulative as of September 2017
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INSURANCE TECHNOLOGY
Automotive(147 Companies)
Employee Benefits(90 Companies)
Enterprise/Commercial(146 Companies)
Health/Travel(152 Companies)
Data/Intelligence(119 Companies)
Consumer Management(93 Companies)
Education/Resources(39 Companies)
Comparison/Marketplace(407 Companies)
Infrastructure/Backend(288 Companies)
User Acquisition (112 Companies)
Life, Home, P&C(147 Companies)
P2P Insurance(32 Companies)
Product(41 Companies)
Reinsurance(33 Companies)
The Venture Scanner research platform currently tracks 1,422 insurance tech
startups with $19B in funding
The graphic above shows a random sampling of companies in each category, data cumulative as of September 2017
Health
Auto
Life/Home
Intelligence
Employee
Comparison
Infrastructure
Enterprise
Reinsurance
Product
Consumer Management
User Acquisition
Education
P2P Insurance
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Innovation quadrant for insurance technology
Average Funding
ESTABLISHED HEAVYWEIGHTS
PIONEERS DISRUPTORS
Ave
rage
Age
This quadrant shows a relative segmentation of the categories with respect to one another, data cumulative as of September 2017Visit www.venturescanner.com to learn more about our insurance technology research platform
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VC funding into insurtech continues to slow over the last few years
Overall insurance technology funding grew at a CAGR of 36% from 2011-2016, and 2017 is currently at 55% of 2016 funding
Insurance Technology Funding Over Time
Data cumulative as of September 2017Visit www.venturescanner.com to learn more about our insurance technology research platform
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The most recent quarter has been in line with previous Q3 funding totals
The funding in Q3 2017 was 98% of the Q3 funding average over the past 5 years
Insurance Technology Funding Over Time
Data cumulative as of September 2017Visit www.venturescanner.com to learn more about our insurance technology research platform
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Exits within the space are on a general upward trend
Quarterly insurance technology exits in 2017 are within the same range of 2016, though Q3 2017 saw 56% as many exits as Q3 2016
Insurance Technology Exit Events Over Time
Data cumulative as of September 2017Visit www.venturescanner.com to learn more about our insurance technology research platform
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Exit
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Latest Activity
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Insurance technology funding events were mostly early stage in Q3 2017
There were 40 funding events this quarter, 60% of which occurred at the Seed stage
Recent Insurance Technology Funding Round Counts
Graphs shows only the funding rounds listed thereinVisit www.venturescanner.com to learn more about our insurance technology research platform
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Seed A B C D Late Stage
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ents
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Most insurtech categories saw funding this quarter
Insurance technology startups raised $397 million over the last quarter
Quarterly Insurance Technology Category Funding
Companies are categorized by function, and therefore can exist in multiple categories. The total amount is for unique companies onlyVisit www.venturescanner.com to learn more about our insurance technology research platform
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Recent insurance technology funding events
Notable Recent Insurance Technology Funding Events
Company Funding Type Amount Date
Series B $159,000,000 July 19, 2017
Series B $40,000,000 Sept 19, 2017
Series B $23,500,000 Aug 22, 2017
Series B $19,000,000 Aug 23, 2017
Series B $16,000,000 July 27, 2017
Insurtech companies raised $400M this quarter, with the top 5 events accounting for 65% of quarterly funding
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Recent insurance technology exit events
Notable Recent Insurance Technology Exit Events
Company Acquirer Amount Date
$4,900,000,000 July 7, 2017
$150,000,000 Sept 13, 2017
$104,000,000 Sept 7, 2017
Unknown Sept 6, 2017
Unknown Aug 16, 2017
There were 5 insurance technology exits this past quarter, all of which have been acquisitions
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Category Discovery – Health Insurance
Every quarter a new category will receive a deep dive, providing comparisons to other categories and discussing trends
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Health insurance is one of the leading categories within the insurtech sector
The health insurance category accounts for 29% of funding in the sector, 8% of total companies, and saw mild growth last quarter
Venture Investing in Insurance Technology
Companies are categorized by function, and therefore can exist in multiple categories. Data cumulative as of September 2017Visit www.venturescanner.com to learn more about our insurance technology research platform
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Previous Total Quarterly Funding Percent Growth
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Companies within health insurance are generally better funded than their peers
Health insurance has a median funding $5M higher than the average of other categories, and a third quartile that is $22M higher
Insurance Technology Category Funding Quartiles
Companies are categorized by function, and therefore can exist in multiple categories. Data cumulative as of September 2017Visit www.venturescanner.com to learn more about our insurance technology research platform
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Fun
din
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First Quartile Median Third Quartile
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Current year health insurance funding amounts are slowing
Overall health insurance funding grew at a CAGR of 116% from 2011-2016, and 2017 is currently at 36% of 2016 funding
Health Insurance Funding
Data cumulative as of September 2017Visit www.venturescanner.com to learn more about our insurance technology research platform
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2011 2011 2011 2011 2012 2012 2012 2012 2013 2013 2013 2013 2014 2014 2014 2014 2015 2015 2015 2015 2016 2016 2016 2016 2017 2017 2017
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Fun
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Funding Events
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Health insurance funding amounts have trended from Series A to Series B
Health Insurance Funding Amount By Round
While recent quarters have been lower than previous highs, Series B financings accounted for 55% of total VC funding in the past quarter
Graphs shows only the funding rounds listed therein. Data cumulative as of September 2017Visit www.venturescanner.com to learn more about our insurance technology research platform
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Seed A B C D Late Stage
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Funding within health insurance is highly concentrated
Health Insurance Companies with Large Funding Amounts
Company Latest Round Amount Location
Post IPO Equity $4,750,000,000 China
Series A $935,000,000 China
Private Equity $727,500,000 New York, USA
Series C $584,000,000 San Francisco, USA
Series D $425,000,000 San Francisco, USA
The top 5 health insurance companies account for 75% of total category funding
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