Visa The Embedded Lending Opportunity April 2024 Banner

Coverdash Raises $13.5 Million to Expand Embedded Insurance Offering

business insurance contract

Coverdash has raised $13.5 million in Series A funding to expand its embedded insurance offering.

The company will use the new funding to expand its embedded partner network, grow its internal team and broaden its insurance carrier panel, Coverdash said in a Wednesday (Feb. 28) press release.

“Coverdash goes beyond coverage — we offer startups and SMBs [small and medium-sized businesses] the support they need, especially in today’s challenging landscape when navigating the complexities of insurance has never been more vital,” Coverdash Co-founder and CEO Ralph Betesh said in the release.

The company’s embedded technology enables partners in any industry to offer insurance to their existing customers, according to the release. With a single line of code, these partners can offer highly configurable insurance solutions within their own front-end environment.

This offering allows the partners’ customers to purchase business insurance from companies they trust, in a process that takes only seconds, the release said.

To meet this need, Coverdash offers a full suite of commercial insurance products, including general liability, business owners policy, workers compensation, directors and officers liability, cyber insurance and professional liability, per the release.

The company’s Series A round was led by Nyca Partners, according to the release.

“Giving SMB service providers — payroll, payments, lending, website creation, HR, etc. — the ability to offer their customers seamless access to business insurance allows them to deepen their client relationships while adding a heretofore untapped revenue stream,” Stephanie Khoo, partner at Nyca, said in the release.

This funding round comes about a year after Coverdash announced the launch of its insurance solutions and the closing of an oversubscribed seed round.

The latest round brings the company’s total funding to $16 million to date, according to the Wednesday press release.

In another development in this space, Obie said in May 2023 that it raised $26 million in Series B funding to expand its embedded insurance offering for real estate investors.

Obie was founded in 2017 and uses embedded insurance solutions to offer real estate investors instantly bindable quotes through partner platforms. The firm has partners in PropTech, FinTech, property management and other relevant segments.