Next Insurance Notches $250 Million For SMB Insurance Tech

InsurTech firm Next Insurance has landed a $250 million infusion in a round headed up by Battery Ventures and FinTLV Ventures. The round also saw the involvement of G Squared, Founders Circle, Zeev Ventures, Group 11 and CapitalG, according to a Wednesday (March 31) announcement.

The round provided the firm with a $4 billion valuation. In all, Next Insurance’s funding has exceeded $880 million, according to the announcement.

Next Insurance Co-Founder and CEO Guy Goldstein said in the announcement said that the newest iteration of financing “is a validation of our vision which is to make it dramatically easier for small business owners to get the insurance coverage they need by removing friction from the customer experience.”

Battery Ventures General Partner Michael Brown and FinTLV Ventures Founder and Managing Partner Gil Arazi will become board observers, according to the funding announcement.

Brown said in the announcement that “Next Insurance is modernizing insurance coverage and the customer experience by creating greater access to digital coverage and reinventing the way policies are designed, sold and purchased for everyday small business owners.”

Next Insurance said at its “technology-first” mindset decreases costs by as much as 30 percent in contrast to “traditional policies.” Insureds have access to U.S.-based advisors, tools and services through Next Insurance, which was established in 2016 and based in Palo Alto, according to the announcement.

Since the firm unveiled its previous $250 million financing, Next Insurance has purchased alternative open data and underwriting technology provider Juniper Labs in addition to digital insurance agency AP Intego.

Moreover, Next Insurance has teamed with Amazon Business to enable eligible members to locate customized small business insurance.

The tie-up will let Business Prime members easily retrieve a quote from the InsurTech company and quickly purchase general liability, professional liability, workers’ compensation, commercial auto, and tools and equipment insurance coverage.

“We are proud to continue to be chosen by top companies, like Amazon, who understand the best way to serve small businesses is through digital solutions,” Goldstein said in an announcement at the time.