FinTLV secures $120 million for InsurTech and FinTech funding

Tel Aviv-based VC firm, FinTLV Ventures has reportedly announced raising USD 120 million for InsurTech and FinTech investments. Reports have it that the parent company had already invested about USD 200 million in the space earlier.

As per a statement released by the company, its first funding round invested in about 3 out of 4 most promising InsurTech-related unicorns, including Next Insurance, Hippo Insurance, and Unqork.

Speculations have it that some of these investments were: leading USD 150Mn round in Hippo Insurance with an additional investment of USD 50Mn at an overall valuation of USD 1.5Bn; investing about USD 50Mn as a part of USD 250Mn round in Next Insurance at a valuation of USD 2Bn, and investment of USD 2Bn in Unqork.

According to a statement released, FinTLV’s investors included Psagot investment house, Ayalon insurance, Clal insurance, FWD, MS&AD, Poalim Capital Markets, BDO Israel, Matrix, and several others.

Speaking on the accomplishment, managing partner of FinTLV, Avishai Silvershatz cited that in order to stand tall as a successful and profit-generating InsurTech company, the firm needs to not only have a brilliant technology but also the capability to cope with high regulatory barriers, address the capital solvency requirement, build expertise in risk assessment and online marketing, establish relationship with other players in the insurance ecosystem, and most importantly the ability to manage M&A activities.

While on the other hand, Gil Arazi, FinTLV Founding Partner, said in a statement that the global insurance industry is currently undergoing a massive disruption. In this regard, it would be crucial to mention that the overall profit of the U.S insurance industry is about five time larger than that of banking industry today

However, the technology used by most of these companies is obsolete, making the need for lucrative technologies essential for such companies.

Source Credit: https://www.pymnts.com/news/investment-tracker/2021/israel-fintlv-raises-120-million-dollars-fintech-insurtech-investments/