Counterpart raised $10 million in financing designed to help fuel growth of its management liability insurance platform.
Valor Equity Partners led the Los Angeles-based MGA InsurTech’s financing. Counterpart touted Valor’s investment pedigree, which includes Tesla, SpaceX, Addepar and GoPuff. Susa Ventures and Felicis Ventures (backer of companies including Hippo, Plaid and Credit Karma) also participated.
“Management liability addresses many of the sharp edges of operating a business today, including wrongful termination, discrimination, misrepresentation, and harassment, but remains poorly understood and underutilized by small businesses,” Counterpart founder and CEO
Tanner Hackett said in prepared remarks. “Counterpart was founded to make this product more accessible, relevant, and efficient, much in the same way that InsurTechs have revolutionized personal insurance lines.”
In addition to the funding, Counterpart is partnering with Markel Corp.’s Markel Specialty to offer its management liability insurance products. Markel Corporation is a diverse financial holding company serving a variety of niche markets with roughly a $15 billion market capitalization, Counterpart noted. Markel backs Counterpart in terms of underwriting.
Counterpart claims that hundreds of brokers in the United States use their platform to help small and medium-sized businesses get coverage. The company said it launched privately at the end of 2020. It employs 12 full timers, and also works with a number of strategic advisors and investors.