Broker Insights – the “high-growth” firm whose digital platform is focused on transforming the commercial insurance market – has secured nearly $8 million (appr. £6 million) in a Series A round led by Mercia Asset Management.
Chroma Ventures, which first backed Broker Insights with seed funding back in 2018, made a follow-on investment in this investment round, along with several private UK and US investors.
The proceeds should enable further development on Broker Insights’ platform and “accelerate its UK growth and launch in the US, in line with its plans to become a global leader in its field,” according to a release.
The firm, which employs 35 staff at its head offices in Dundee, expects to “double its headcount in 2022, with the majority of new jobs in Scotland,” the update revealed.
Brokers Insights’ platform – which is reportedly the first of its type for the commercial insurance market – enables insurers to “distribute their products more efficiently to regional brokers through automation and collaboration tools.”
It also offers real-time data to “give them greater insight into companies’ insurance requirements,” the update explained.
Broker Insights was established back in 2018 by former Aviva senior executives Fraser Edmond and Iain Crole.
Its platform now connects various insurers such as AXA, RSA, Zurich, QBE, Travelers, Markel, and Hiscox with more than 160 brokers. During the last year, the platform has doubled its gross written premiums (GWP), the insurance industry yardstick, to over £1 billion.
In November 2021, the firm was named ‘Technology Partner of the Year – Commercial’ at the Insurance Times Tech and Innovation Awards.
Fraser Edmond, CEO at Broker Insights, stated:
“This investment is an endorsement of our success in building our platform, technology and team. Launched three years ago, we are now serving 12 per cent of the UK commercial insurance market; we have established that our platform delivers results for our customers and is attracting significant and growing demand from brokers and insurers alike.”
“We have the opportunity to become a mainstream digital marketplace for insurers and brokers. We are removing significant friction and cost in connecting brokers and insurers, and the potential market for this is here in the UK and next in the US. We have traction, proven demand, and this funding allows us to accelerate our growth.”
Mercia has “invested from its Northern Venture Capital Trust funds (VCTs),” the update confirmed.
Hugo Lough of Mercia, remarked:
“The commercial insurance market has continued to operate in a very traditional way, with client-facing teams traveling around the UK to build relationships with brokers. By bringing them together online to do business, Broker Insights offers the opportunity to remove friction and cost, and improve the experience for all concerned.
“The business has grown impressively since launch and we are delighted to be backing Fraser, Iain and the wider team for the next stage of growth. The business has massive potential and we’re excited to work with them to seize the opportunity domestically and abroad.”
Chroma Ventures is the investment division of 4J Studios entrepreneurs Chris van der Kuyl and Paddy Burns.
Chris van der Kuyl, Principal of Chroma Ventures and Chair of Broker Insights, commented:
“Broker Insights has created a unique marketplace for commercial insurance, proven that it works and grown the business at pace. This Series A round positions the company for expansion and we are creating a global leader in the digital transformation of the commercial insurance market. The company’s performance and progress to date has been exceptional. This growth capital raise now positions them for further growth in the UK and entry into the US.”
Deloitte Corporate Finance “advised Broker Insights on the fundraising,” the announcement noted.