A Canadian InsurTech focused on Small Business insurance said it raised $3.5 million in seed financing.
Foxquilt, a Toronto-based MGA startup, said the funding will help it become a full-service insurance provider with a self-serve platform. This will enable customers to purchase policies online and amend policy features as their business changes, the company said. As well, Foxquilt plans to roll out proprietary small business products in the coming months, along with new distributions channels including direct-to-consumer, B2B integrations and open APIs with select partners.
“Receiving our $3.5M seed round allows us to move forward in transforming our insurance platform to become a full-service provider, so we can continue supporting small business owners through COVID-19 and beyond.” Mark Morissette, CEO and Co-Founder of Foxquilt, said in prepared remarks. He added the company has boosted its hiring with a goal of becoming “the leading Commercial Insurance Technology company in North America.”
Foxquilt describes its business model, in part, as helping small businesses and B2B networks save on their business insurance by way of an “Insurance-as-a-Service platform and unique underwriting infrastructure.” The company said its full-stack underwriting platform leverages smart data and machine intelligence, to discern the nature of the business, efficiently underwrite its risks and complement it with the right coverages. Its serverless micro-service architecture is designed to adapt business coverage as clients grow, the company said.
The company has recently partnered with multiple underwriting partners including Aviva, Chubb and Beazley, something it said will help it become a full-service insurance provider and creator of new products for small businesses.