Sigo, a U.S.-based insurtech that specializes in car insurance, announced on Tuesday it raised $1.5 million through its latest Seed funding round, which saw participation from Amicle Capital, Bonded Capital Ventures, Demeter Capital, Financial Solutions Lab, Park City Angels, and gANGELS.
Founded in 2019, Sigo describes itself as an inclusive auto insurance provider focused on the $20 billion emerging standard auto insurance market.
“Sigo provides affordable access via its direct-to-consumer platform that is tech-enabled, bilingual, and mobile-first. By helping customers with limited insurance histories get basic auto insurance, Sigo is better serving this segment of drivers by providing transparent and reliable coverage.”
Néstor Hugo Solari, Co-Founder and CEO of Sigo, shared more details about the company’s services by stating:
“Traditional auto insurance companies favor a specific type of customer—affluent, suburban drivers who have consistent coverage and can afford increased coverage limits. But this largely excludes a demographic that’s made up more than half of America’s growth in the last decade—the Latinx population. Customers are left penalized for having limited credit, education, or insurance history, factors that have zero impact on how you drive.”
In regards to what the Seed round’s funds will be used for, Sigo added that it will allow the company to launch an auto insurance product that removes biased rate factors from day one of the underwriting process.