Chicago-based Clearcover, a digital automobile insurance company, has raised $200 million in a Series D financing. The round, which brought total funding to $329 million, was led by Eldridge, with participation from American Family Ventures, Cox Enterprises, OMERS Ventures and others.
CHICAGO, April 13, 2021 (GLOBE NEWSWIRE) — Clearcover, the smarter car insurance choice, announced today it has closed $200 million in Series D funding, led by Eldridge, with participation from existing investors American Family Ventures, Cox Enterprises, OMERS Ventures, as well as several other new investors. Clearcover has raised $329 million in total funding to date. This recent round of funding positions Clearcover as the company to watch in an industry that continues to experience accelerated digital transformation.
Clearcover’s mission is to become the digital auto insurer of choice for modern drivers. The funding will accelerate innovation of the Company’s digital insurance offerings by investing in and growing its insurance, product, and engineering teams, and will double its overall headcount by next year.
“The car insurance experience is becoming increasingly digital and customers want streamlined, customizable options when choosing a carrier,” said Kyle Nakatsuji, Co-founder and CEO of Clearcover. “In an industry ripe for transformation, we see ourselves as innovators in digital car insurance experiences while providing our customers more value for less money. This new capital will allow us to continue our growth across the country, providing better insurance to more customers.”
Clearcover automates traditionally manual insurance tasks with modern technology, resulting in lower operational costs. These savings are then passed on to the customer in the form of lower prices. More than 65% of consumers who adopted digital claims handling practices during the pandemic intend to continue those habits post-COVID, according to a McKinsey & Co. survey. Clearcover has led the car insurance industry with innovations such as Clear Claims™, an advancement in the digital claims process that provides payment on eligible claims within 30 minutes or less.
“Clearcover’s technology-first platform offers customers a fast, affordable alternative to legacy auto insurance,” said Todd Boehly, Chairman and CEO of Eldridge. “As the industry continues to evolve from analogue to digital, Clearcover is well positioned to scale while delivering a competitive product and better experience to consumers across the US.”
This funding round comes on the heels of an exciting 2020 for Clearcover. The Company expanded into several new states and is now available in Arizona, California, Georgia, Illinois, Indiana, Louisiana, Maryland, Missouri, Nebraska, Ohio, Oklahoma, Pennsylvania, Texas, Utah, and Wisconsin. The Company also announced two new additions to its C-suite, Chief Financial Officer Norman Smagley and Chief Insurance Officer Vandana Venkat. Clearcover was recently named a Glassdoor 2021 Best Place to Work and was named one of Inc. Magazine’s Best Workplaces of 2020.
Financial Technology Partners (“FT Partners”) served as exclusive advisor to Clearcover and its Board of Directors.
Clearcover is the smarter car insurance choice, offering better coverage for less money. Clearcover’s customer-first, service-focused model powered by advanced technology delivers a convenient, reliable and affordable experience. Built for today’s driver, Clearcover takes the guesswork out of car insurance, making it easy to save money and get insured in minutes. Learn more at https://clearcover.com/ and view open job postings at https://clearcover.com/careers/. Keep in touch at @clearcover or https://www.facebook.com/Clearcoverinc/.
Eldridge invests in businesses across the Insurance, Credit, Technology, Real Estate, Sports, Media, and Consumer landscapes. The firm seeks to build and grow businesses led by proven management teams that have demonstrated leadership and experience to scale an enterprise. Eldridge is headquartered in Greenwich, Connecticut, with additional offices in Beverly Hills, New York, and London. To learn more about Eldridge, please visit www.eldridge.com.