Cover Whale, Insurtech Raises $15.5M in Seed Funding

Cover Whale Insurance Solutions Inc., an Insurtech MGA focused on disrupting the commercial auto space. The company raised $15.5 million in fundraising led by investors Ambac Financial Group, Inc. and TigerRisk Partners' Applied Financial Technologies subsidiary.

 

Cover Whale was built on a foundation of technology, data, and machine learning analytics. This will transform the commercial auto segment and bring to market a forward-looking and continuous insurance model. Cover Whale's technology platform is efficiency-driven and reduces the need for the traditional resource-consuming underwriting process. This allows the platform to offer instantaneous quotes from multiple carrier partners.


Cover Whale's proprietary platform also enables it to leverage real-time data in great volume. Coupled with the ability to intervene, and instantaneously correct negative driver behaviour, the platform will reduce loss ratios thereby lowering the overall cost of insurance.


Cover Whale, an agent-friendly online platform has grown from just five employees to over 80 employees and contractors in the past year. Added key leadership positions and strengthened vital backend departments. The company's growth in the space has been unparalleled. Cover Whale is the antithesis of Insurtechs as it became cash-flow positive earlier this year with a strong focus on bottom-line profitability.


"This funding round is an exciting time for the Cover Whale team. The support of such sophisticated investors has been a significant show of commitment to our vision," said Cover Whale Founder and CEO Dan Abrahamsen. "This level of funding enables Cover Whale to invest further in our technology-enabled proprietary platform, as well as continue to attract a team of top industry talent."