What do the 30 FinTech funding rounds from last week tell us about the state of the industry?
There has been the regular smattering of investment rounds going into the FinTech industry. And they give us a perfect opportunity to take a closer look at the InsurTech and the RegTech segments of the market.
Five InsurTech ventures were among the rounds raised in the last week. They were Fabric, Superscript, DataFleets, Steadly and VIPR. This highlights that the interest in InsurTech has remained strong despite the global pandemic. In fact, an argument can be made that the Covid-19 crisis has pushed insurers to embrace collaborations with tech firms to a great extent than before.
In fact, the funding in the InsurTech industry doubled in the third quarter of 2020. The industry raised a three-quarter high of $2.4bn between July and October, according to FinTech Global’s research. That was up from the $900m raised in the first quarter and the $1.2bn injected into the industry in the second. The spike was due to a return of huge rounds such as Bright Health’s $500m cash injection, Ki Insurance’s $500m round and Next Insurance’s $250m investment.