Superscript, a custom insurance provider for SMEs, raises  million • TechCrunch

Superscript, a custom insurance provider for SMEs, raises $54 million • TechCrunch

Superscript, a custom insurance provider for SMEs, raises  million • TechCrunch

Superscript, an insurance broker and technology platform aimed at SMEs and ‘high-growth’ tech companies, has raised £45m ($54m) in its Series B funding round

Founded in London in 2015, Superscript comprises two core insurance companies: a self-service online platform available to UK clients including SMEs, sole proprietors and owners, and an advisory brokerage service called SuperscriptQ which is available in the UK and throughout the European Economic Area (EEA). This is aimed at tech companies with complex risks that are harder to insure, such as medical malpractice or professional liability insurance, with clients including London-based fintech Unicorn Paddle.

Insurance factor

As with any other sector, the insurance technology industry has been hit hard by the global economic crisis, with companies like Policygenius and Next Insurance cutting jobs over the past year, while publicly traded companies like Lemonade, Hippo, and Root all deals significantly down from last year.

But for every yin there is a yang, and there are signs that the insurtech realm is still alive and kicking. Germany’s Wefox raised $400 million at a $4.5 billion valuation last year, while the Ohio-based branch achieved unicorn status with a $147 million raise. And now it’s Superscript’s turn to remind the world that insurtech can do well after all.

But what separates the wheat from the chaff in insurtech – why do some float and others fly?

“Insurance has a more complex value chain than most tech companies because you need to focus on both your acquisition strategy and the ongoing performance of the policies you sell,” Superscript co-founder and CEO Cameron Shearer explained to TechCrunch. “While rapid customer growth is usually seen as a good thing, if insurance is not adequate, claims – in other words, losses – will start to accumulate overtime. If you have long-term commitments, you may not experience the company’s “true” performance for many years.”

Superscript co-founders Ben Rose (CIO) and Cameron Shearer (CEO)

Superscript’s insurance partners are packed with well-known names from the insurance world, including AXA, Beazley At Lloyd’s, RSA and MS Amlin. This multi-operator, region-spanning and sector expertise approach is partly why Shearer believes Superscript is well-positioned to flourish as it looks set to scale over the long term. All this to provide individualized protection against the types of risk that SMEs especially need.

“Historically, many investors have mirrored tech investment models and focused on acquisitions,” added Shearer. “Recently, now, from the perspective of more mature insurtechs and many IPO experiences, we have seen investors shift their focus to diversification and insurance power. From day one, Superscript has focused on sustainable growth and high-quality insurance to provide us with more favorable claims ratios. Advanced insurance, technical and data capabilities enable us to provide a highly personalized user and insurance experience.”

From a technology and data standpoint, Superscript says it uses “proprietary machine learning technology” to differentiate itself, including during the sourcing and onboarding process in its self-service product that directs potential customers to the right channels. Big Data Insight is also a big part of its promise, where it uses machine learning models to “more accurate” risk pricing by analyzing a range of data points.

“Other parts of our technology analyze the data we’ve collected about the insurance market to assess the likelihood of where insurers and carriers are likely to accept risk, and what data points are critical to a particular insurer’s underwriting process,” Shearer said. “This again increases the operational efficiencies of both our process and insurers.”

The company previously raised approximately $24.4 million, including an approximately $20 million tranche raised in two rounds in 2020. With another $54 million in the bank, the company said it plans to expand its insurance and brokerage capabilities and continue investing in its machine. learning tools.

Although Superscript is limited to the European market, it has long-term ambitions to become a global player. In fact, it already has several clients in North America, Australasia and the Middle East, although apparently these are clients that need access to European insurance markets.

The Series B Superscript funding round was led by Comparethemarket owner BHL UK with contributions from The Hartford and Concentric.

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