The Zebra Is Latest Insurance ‘Disrupter’ to Attract Funding

By | January 26, 2016

The Zebra, an online auto insurance comparison company, said it has closed $17 million in Series A funding with investment from Mark Cuban, Mike Maples Jr. (of Twitter and Lyft), Simon Nixon (of Moneysupermarket), Silverton Partners, and new investors Daher Capital and Ballast Point Ventures.

This latest round brings Austin-based Zebra’s total funding to date to $21 million.

The news continues a surge in insurance tech startup funding that reached $2.65 billion in 2015, up from $740 million in 2014, according to CB Insights Venture Capital database. Funding for instech jumped 45 percent in the fourth quarter of last year, CN Insights reported.

Among those receiving funding in 2015 were Lemonade ($13 million), PolicyGenius ($15 million), Zenefits ($500 million) and China’s Zhong An ($930 million).

The Zebra claims it provided 3.5 million unique drivers with customized quotes and from 40 top insurers during the past year.

The Zebra said it plans to use the capital to enhance its product offering, strengthen partnerships with insurance carriers, and expand its team.

Zebra’s founders claim they are out to disrupt what they say is an outdated U.S. car insurance industry by empowering “informed consumer behavior.”

“These antiquated distribution models require innovation. Today, consumers expect optionality and speed in nearly every area of their lives, and now technology allows us to create the tools needed for insurers and consumers,” said CEO Adam Lyons.

“Insurance shopping is a major pain point for the 250 million-plus U.S. drivers on the road,” said investor Mike Maples Jr. in the announcement “With The Zebra, we’re demystifying an opaque insurance industry and simplifying that process in a way that serves both drivers and insurance companies.”

The Zebra allows drivers to compare side-by-side customized quotes from insurance companies across all 50 states. It also provides resources for drivers to evaluate companies based on coverage, customer reviews, claims satisfaction and other criteria.

The Zebra claims that it saves drivers an average of $368 per year.

Get Insurance Journal Every Day

Latest Comments

  • June 28, 2016 at 10:22 am
    Agent says:
    Hey Millenial, if you think Confused is the voice of reason, you are in a lot of trouble in that line of thinking. Pay attention to any article on this blog and you will see ... read more
  • June 28, 2016 at 9:52 am
    Insurance Nerd says:
    Interesting note: I've emailed their ask an agent several questions. In addition to altering the questions to fit the response Neil wishes to post, when I post a reply, he e... read more
  • February 1, 2016 at 12:31 pm
    llcj says:
    This technology already exists. A company called CcompuQuote developed a rating tool to compare all Canadian Auto insurers. CompuQuote was sold to a US company called Applied ... read more
See all comments

Add a Comment

Your email address will not be published. Required fields are marked *


More News
More News Features