InsurTech100 company Planck has closed a $16m investment to support its growth strategy and deepen the platform capabilities.
The round was led by Team8, with additional support coming from Nationwide Ventures and HDI Group.
Joining the funding round was all of Planck’s Series A investors, Arbor Ventures, Viola Fintech, and Eight Roads.
Planck entered the fundraising market in the fourth quarter of 2019.
In a blog post from the company’s CEO and Co-founder Elad Tsur he said, “If you’ve ever fundraised for a startup, then you know how stressful it can be. It all started in the fourth quarter of 2019. Before that, I was working 12-hour days. Once the fundraising initiative started, I started working 14-hour days and most weekends.”
He went on to explain that while there were long hours, he loved the whole process. He met with a total of 64 investors and engaged in numerous interactions with them explaining the product. After all of this research and its own due diligence, it selected Team8, Nationwide Ventures and HDI Group as its new backers.
The InsurTech offers an AI data platform which creates real-time underwriting insights. Its technology aggregates and mines massive datasets, leveraging AI to automatically generate and uncover key insights for commercial underwriting.
Tsur said, “Thinking about Planck as a data vendor is like buying a Mercedes to charge your phone: you can keep your phone connected to the USB charger in your car sitting in a parking lot, but you’re missing the point.”
Planck entered the fundraising market after witnessing strong growth. In 2019, its customer base increased by 5x and the number of machine learning models its was deploying grew by 10x.
“We had two options: either slow down and maintain linear growth with our existing staff, or move to an investment round to keep the pace of our exponential growth. We chose the latter,” he said.
The company previously raised $12m in funding and the current round puts the company’s total equity raised to $28m.
Copyright © 2020 FinTech Global