Announcing our $17M Series A fundraise to reinvent insurance for connected vehicles
Today we’re excited to reveal that Flock has raised $17M in funding, to supercharge our expansion into new geographies and product lines.
The round was led by Social Capital, the Californian investment firm run by Chamath Palihapitiya, a renowned tech investor, Chairman of Virgin Galactic, and an early backer of Slack, Tesla, and Bitcoin. Our incredible existing investors Anthemis and Dig Ventures also participated.
This funding marks a major milestone as we build a global, fully digital insurance company for connected and autonomous vehicles.
Commenting on the raise, Chamath Palihapitiya, CEO of Social Capital said:
“Flock is bridging the gap between today’s insurance industry and tomorrow’s transportation realities. Flock has the potential to help unlock and enable a truly autonomous world, and even save lives. We’re excited to be a part of their journey.”
How we’re reinventing insurance
At Flock, we provide exposure-based insurance for fleets of commercial vehicles. We want to help our customers save time, money and even lives with our products.
In contrast to traditional annual policies, which are often restrictive and inaccurately priced, Flock’s products are fully flexible — bought and adjusted in minutes - and fairly priced based on actual exposure to risk.
This is made possible by our proprietary risk engine, which ingests huge amounts of real-time data such as vehicle sensor and location data, hyperlocal weather, traffic conditions, and accident data, to accurately quantify risks on a per-second basis.
Alongside insurance, we give our customers free insights into how they can reduce their own risks (for example, by highlighting their most high-risk drivers and routes).
When our customers improve their safety, we reward them with significantly cheaper prices; some of our fleet customers are now saving more than 25% on their premiums.
Our journey so far
In 2018 we launched the world’s first ‘pay as you fly’ drone insurance app, rapidly expanding to capture more than 35% of the UK commercial drone market. We currently insure thousands of commercial drone operators globally. This includes pilots flying for the BBC, Netflix, and conducting medical delivery flights for the NHS.
In 2020 we moved into the rapidly evolving world of commercial motor fleets, launching the world’s first real-time insurance product for car rental platforms, courier companies, and corporate fleets.
We’ve experienced extraordinary demand. In just one year revenues have grown 38x and we had welcomed onboard flagship customers such as Jaguar Land Rover’s, The Out, and Virtuo, a leading on-demand car rental app.
Our mission: to make the world a safer, smarter place
Commenting on the fundraise, Ed Leon Klinger, CEO of Flock said:
“Transportation is changing faster than ever, but the traditional insurance industry can’t keep up! The proliferation of electric cars, new business models such as ridesharing, and the emergence of autonomous vehicles pose huge challenges that traditional insurers just aren’t equipped for.”
“Modern fleets need an equally modern insurance company that moves as fast as they do. Commercial motor insurance is a $160Bn market, crying out for disruption. The opportunity ahead of us is enormous.”
“Everything we do is led by our mission to make the world a smarter, safer place. We strongly believe that the insurance company of the future won’t just pay claims; it will actively help its customers avoid them in the first place. That’s the future we’re building at Flock. We’re delighted that Social Capital has decided to support us, and join us for the ride.”
What’s next for Flock?
With our new funding, we are rapidly growing our high-calibre, diverse team, hiring for 60+ roles across every function. We have plans to expand our motor product into multiple European countries and develop entirely new product lines.
We have enormous ambitions at Flock and this funding round takes us one step closer to reinventing insurance for connected and autonomous vehicles.
