Six-year-old insurance technology firm Cover Genius has reportedly raised A$15 million ($10.7 million USD) in capital, including funds from King River Capital and Leap Capital, according to published reports.
Sydney, Australia-based Cover Genius focuses on providing insurance products to digital-age corporate customers. The company reports having customers in the United States, Europe, Southeast Asia and India.
The company said the new funds will be deployed to help customers "accelerate their growth with tailored and optimized protection products offered at the point of sale and sign up."
Cover Genius Co-founder and Chief Executive Angus McDonald said in a prepared statement: “Our global partner network is rapidly growing, and this recent raise will support the ongoing development of high volumes of strategic partnership deals, across a broad range of insurance lines, verticals and geographies.”
McDonald added: “Customers want to protect their purchases, big or small, and given the option, many will take insurance cover[age] at the point of sale from their favorite online brands. The confidence this gives customers is driving an increase in purchase volume, with 32 percent of customers happy to buy and spend more if offered insurance. Our partners are certainly ahead of the curve and can see the value of insurance not only to their customers, but also their business.”
Chris Barter, a partner at investor King River Capital, said in a prepared statement: “It’s no surprise that many businesses are looking at partnerships and integrations that can help grow their business in these challenging times. Cover Genius has a long history of actively contributing to the growth and prosperity of some of the world’s biggest eCommerce brands, and we are excited to see them expand so quickly into new territories and verticals.”
Among its offerings, Cover Genius helps companies sell insurance to customers at digital points of sale, essentially letting online shoppers buy parallel coverage to the types of warranties offered at big-box store checkout counters.
A PYMNTS analysis found that 62 percent of shoppers surveyed said they were offered insurance during the electronic purchase process, and 60 percent of surveyed shoppers said they would buy insurance coverage for online purchases if given the opportunity.