Covera Technologies Inc., a Canadian-based insurtech start-up that uses technology to find its customers optimal insurance rates every year, has raised $1 million through its seed financing round led by Ferst Capital Partners with participation from fintech angel investors. The latest funding round follows the company’s $500,000 pre-seed financing round and brings the total capital raised to $1.5 million.
Founded in 2016, Covera describes itself as a simple solution that pro-actively re-shops for insurance on the user’s behalf. The company stated:
“Canadians are, in many ways, busier than ever before. Our time is at a premium and our obligations ever mounting. Technology has made many aspects of our daily lives faster, easier and more pleasant, but the insurance industry has struggled to follow suit. We believe that the world would be a better place if people could dedicate more of their time, money and emotional availability to the people and things they love. Our challenge at Covera was to design a solution that would apply this mission in an industry as traditional and conservative as insurance brokerage.”
Speaking about Covera’s growth and development, Scott Loong, CEO of Covera, revealed:
“No one should be allowing their insurance to automatically renew – there are almost always benefits to shopping around. Covera provides everyday Canadians with a non-conflicted and technology-first approach to improving their mobility in the market – gone are the days where Canadians are trapped by the boring process of shopping. Covera handles it for you, year-after-year, and gets you the best value in the market when your home or auto insurance expires.”
Dominique Ferst, Managing Partner at Ferst Capital Partners, added:
“There is an enormous opportunity for disruption in P&C insurance distribution and Covera is innovating by effectively leveraging data and AI to gain insights. Covera is using a unique go-to-market strategy by targeting the insurance renewals space. Ferst Capital Partners is proud to be leading this investment in an industry that has gained global traction whereby Canada has lagged behind.”
The new financing will be used to support growth and user acquisition initiatives, drive geographic expansion Canada-wide, and build the team in order to accelerate product development.