Press release

Embroker Raises $28M to Continue the Digital Transformation of Commercial Insurance

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Sponsored by Businesswire

Embroker,
the digital insurance company that’s radically improving the way
insurance works for businesses, today announced its $28 million Series B
funding round and the appointment of tech industry veteran Bill Veghte
to its board. The round was led by Tola Capital, with participation from
existing investors Canaan Partners, Bee Partners, Manulife Capital
Ventures, Nyca Partners, and XL Innovate, bringing the company’s total
funding to date to $42 million. Embroker will use the funding to scale
adoption of its insurance management platform, data-driven service
offering, and proprietary insurance policies.

Embroker provides businesses with the exact coverage they need, at a
lower cost and with less hassle, by digitizing antiquated processes and
offering custom-built insurance policies that are underwritten
instantly. The company’s all-in-one platform streamlines insurance
management, giving businesses a unified view of their policies
company-wide, real-time claims tracking, and instant certificates of
insurance. Customers can buy or renew any type of policy from more than
50 commercial carriers and receive data-driven guidance from Embroker’s
team of insurance advisors who specialize in specific industries.

Embroker serves growing businesses with 10 to 1000 employees and has
grown rapidly since launching in 2016. More than 2,500 companies now
trust Embroker for all aspects of their commercial insurance. In 2018,
the company tripled its revenue and is on track to more than double
revenue again in 2019.

In 2018, the company launched the Embroker Startup Program, a suite of
proprietary insurance policies custom-built for technology companies.
For the first time, businesses can purchase Directors & Officers (D&O)
and Employment Practices and Liability (EPL) Insurance instantly. By
automating underwriting and digitizing the entire value chain, Embroker
is able to provide better, more tailored coverage and generate an
average of 20% cost savings for customers. In less than eight months,
Embroker has provided more than $1B in liability coverage to technology
companies alone. Embroker estimates that it already works with more than
5% of all active VC-backed technology companies in the U.S. and will
exceed 10% by the end of 2019. Embroker is currently developing
proprietary digital policies for a range of other industries.

“Business insurance has been painful and inefficient for far too long.
We are incredibly excited to offer something that is unequivocally
better, faster, and cheaper,” said Matt Miller, CEO and Founder of
Embroker. “We’re proud of how much time and money our customers have
saved and thrilled to have the support and capital needed to further
accelerate our growth.”

New board member Bill Veghte brings with him more than 30 years
experience building and scaling market leading technology platforms. His
leadership roles include serving as SVP of Microsoft Windows, COO of
Hewlett-Packard, CEO of Survey Monkey and on the boards of technology
leaders such as Xero.

“I have had the privilege of working with amazing teams to build truly
transformative businesses repeatedly over the past 30 years and Embroker
clearly has the same opportunity,” says Veghte. “While the $800 billion
commercial insurance industry has remained largely static over the past
30 years, Embroker has the right team, product, and strategy to drive
significant and lasting change and this made it an incredibly compelling
company to be involved with.”

“We’ve been watching the insurance space closely for enterprise
companies using data and technology to transform various aspects of the
industry,” said Sheila Gulati, Managing Director of Tola Capital.
“Embroker stood out as a clear category leader, who is overhauling and
modernizing the whole business insurance value chain.”

About Embroker

Embroker
is a digital insurance company that’s radically improving the way
insurance works for businesses. The company’s digital insurance
platform, proprietary insurance products and data-driven advisors are
now helping more than 2,500 companies improve coverage and reduce costs.
Its suite of proprietary insurance policies, including the first ever
end-to-end digital directors and officers policy, streamline the
insurance supply chain. This enables Embroker to deliver instant quotes
and reduce premiums by an average of 20%. Founded in 2015 and
headquartered in San Francisco, Embroker serves business with 10 to
1,000 employees and has raised over $42M of funding from leading fintech
investors.

About Tola Capital

Tola
Capital
is a venture capital firm that focuses on the opportunity to
invest in the next wave of enterprise software companies. The firm
provides both capital and hands-on engagement to support the growth of
its portfolio companies. Tola Capital targets software companies with
essential products for enterprise customers, a solid existing customer
base, a strong competitive position, and great talent and culture. Tola
Capital invests globally and across multiple stages.