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January 13, 2021

AI-driven auto insurer Loop secures $3.25m seed investment

Loop, a B-Corp auto insurance MGA, has raised $3.25m in seed funding led by venture capital firm Freestyle VC.

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How attractive are current investment opportunities in Europe?

Europe has been identified as one of the most favorable regions for investors, seeing high investment activity in the past year. Most of these investments have been through Debt Offering, valued at close to $700 billion. The region has provided attractive investments in a diverse set of companies. Companies who tend to major themes such Digital Media, Cloud, Artificial Intelligence, E-commerce, and Big Data are recording the highest number of deals, with Digital Media recording close to 2,000 deals. However, GlobalData’s whitepaper offers a full view of the market, analyzing less successful or attractive points of investment as well, examining statistics on Equity Offering investments and PE/VC deals. Understand how government agencies for economies around the world use GlobalData Explorer to:  
  • Track the M&A and Capital Raising volumes into their target market
  • Identify the top sectors in the target market attracting the investments
  • For any investment segment, identify the top Investors inside and outside the target economy that are already investing in the Segment
  • Assess and showcase the growth potential for various Industries in the target economy
Don’t miss out on key market insights that can help optimize your next investment – read the report now.
by GlobalData
Enter your details here to receive your free Report.

Freestyle was joined by Blue Fog Capital, Fontinalis Capital Partners, Concrete Rose, Uprising Ventures, and Backstage Capital in the fundraising.

Also joining the funding round were angel investors including Kristen Dickey, Steve Schlafman, Songe LaRon, Craig Lewis, Gerard Adams, and Joshua Dorkin.

Loop was co-founded by John Henry and Carey Anne Nadeau in July last year.

Nadeau has previously been a researcher at the Brookings Institution, and was the founder/CEO of predictive-modelling firm Ometry. Henry cofounded diversity-focused VC firm Harlem Capital and was the founder/CEO of Mobile City.

Blue Fog Capital managing partner Harris Brody said: “The size of this market combined with the community-first ethos has the potential to build a movement.

“We are thrilled to join Loop in making a difference in the lives of so many who are disadvantaged by legacy auto insurance models. This founding team is proven and uniquely combines Carey Anne’s deep technical and domain expertise with John’s go to market talents.”

Loop believes that the auto insurance sector offers structural bias against vulnerable communities heavily by pricing customers on demographic factors such as credit score and zip code.

The firm, which uses AI, big data, and telematics, says that its AI-driven approach to pricing to measure road safety and their customers driving behaviour prices customers more equitably.

Usage-based insurance (UBI) programmes such as Loop are said to be the fastest growing segment in the auto insurance sector that represents a $256bn annual market.

Henry stated: “We believe there’s a large market opportunity in pricing people more fairly and building a community-first brand in the auto insurance space.”

Free Report
img

How attractive are current investment opportunities in Europe?

Europe has been identified as one of the most favorable regions for investors, seeing high investment activity in the past year. Most of these investments have been through Debt Offering, valued at close to $700 billion. The region has provided attractive investments in a diverse set of companies. Companies who tend to major themes such Digital Media, Cloud, Artificial Intelligence, E-commerce, and Big Data are recording the highest number of deals, with Digital Media recording close to 2,000 deals. However, GlobalData’s whitepaper offers a full view of the market, analyzing less successful or attractive points of investment as well, examining statistics on Equity Offering investments and PE/VC deals. Understand how government agencies for economies around the world use GlobalData Explorer to:  
  • Track the M&A and Capital Raising volumes into their target market
  • Identify the top sectors in the target market attracting the investments
  • For any investment segment, identify the top Investors inside and outside the target economy that are already investing in the Segment
  • Assess and showcase the growth potential for various Industries in the target economy
Don’t miss out on key market insights that can help optimize your next investment – read the report now.
by GlobalData
Enter your details here to receive your free Report.

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