US InsurTech start-up, Ladder, has raised $10M in strategic investment from major insurance players: Allianz Life Ventures and Northwestern Mutual Future Ventures.
This investment extends Ladder’s Series B funding to a total of $40M and will be used to continue to fund growth — specifically hiring of engineers, marketers, and product-focused teams.
Over the last two years, Ladder has been modernising the process of buying life insurance, making it simpler and more convenient for consumers to get coverage in place.
The company not only wants to close the $16trn coverage gap that exists in the United States because of “stuck” shoppers , but is also focused on evolving the industry overall, including removing unnecessary complexity.
Emily Reitan, vice president of strategy and business development for Allianz life, said: “Life insurance is a critical component of any solid financial plan, and both Allianz Life and Ladder share the common goal of ensuring Americans have the proper protection in place to help meet their financial goals.”
Ladder said it is using technology, design thinking, behavioural economics, and machine learning to make the process as seamless as possible for consumers, while reducing costs.
The InsurTech said its entirely new, fully-digital process gives customers a more convenient and manageable experience, from consideration and application through policy management.
Ladder has built proprietary technology from the ground up, giving the company the ability to quickly iterate on its product and streamline the process for consumers.
This technology has also enabled the company to expand quickly across the country. Since its initial launch in California in January 2017, Ladder has expanded to 49 states and DC and is in the process of filing in the state of New York. To-date, the company has placed over $1B of coverage.
Ladder has raised a total of $54M in funding from investors, including RRE Ventures, Canaan Partners, and Lightspeed Venture Partners.