FAIRMATIC RAISE $42M TO REDEFINE COMMERCIAL AUTO INSURANCE WITH DATA AND AI
Fueled by oversubscribed Series A, global insurtech emerges from stealth with C-suite of insurance and technology innovators to transform performance-priced fleet insurance
NEW YORK and BANGALORE, India and TEL AVIV, Israel, August 31, 2022 /PRNewswire/ — Insurtech 2.0 company Fairmatic today unveils a unique offering that ushers in an unconventional approach to fleet insurance, focused on delivering savings for safer fleets and improving road safety for everyone. Fairmatic is led by an all-star team including former Allstate Chairman Jamie Trishas President of Insurance, and Jonathan Matus, a former Android and Facebook mobile executive, as CEO. Fairmatic also announced a $42 million Series A funding round led by Foundation Capital.
“Fairmatic presents an impact-driven alternative to outdated commercial auto insurance models: one that rewards safety and gives fleets fairness and cost control,” said Jonathan Matus, Founder and CEO. “Having spent years working to make smartphone technology ubiquitous, I have been deeply troubled by its unintended consequences for road safety. good.”
“Historically, commercial auto insurance has been a losing battle for insurers and policyholders, suffering massive losses and inflated premiums,” said Jamie Trish, President of Insurance. “Fairmatic turns the tide by redefining a win-win-win sweet spot where safer fleets are rewarded with cost savings; Fairmatic achieves profitable growth and society benefits from improved road safety for all. Our unique ability to provide fair and transparent pricing, combined with our proven profitable growth model puts Fairmatic at the pinnacle of Insurtech 2.0.”
Fairmatic set out to approach risk and underwriting in an unconventional way by leveraging data and AI to introduce a more personalized insurance option that incentivizes safety with cost savings. Discreetly, Fairmatic has tested its predictive risk model with tens of thousands of paying drivers and achieved best-in-class underwriting results.
Fairmatic’s AI-powered risk and pricing models have been trained with nearly 200 billion miles of driving data and tested over five years of operation, demonstrating a proven way to help fleets manage and proactively improve security issues with actionable insights. A simple change in behavior can result in significant cost savings, ultimately leading to a more sustainable fleet business with safer drivers, more competitive insurance rates and lower attrition rates.
“Insurance in this segment has been grossly unfair. Now more than ever, with inflation making it worse, fleets need a fair and transparent insurance option,” Matus said. “Safer fleets should pay less because they’re less risky, but they end up subsidizing unsafe fleets because existing commercial auto insurers use a catch-all pricing algorithm that doesn’t take into account actual risk profiles. and dynamics specific to each fleet.”
Fairmatic’s Series A funding round was led by Foundation Capital, along with Aquiline Technology Growth. The company is also backed by angel investors from Insurtech, fintech and the tech industry, including the Yahoo co-founder jerry yang; Israeli-American investor and Forbes Midas List 2022 one-man VC Oren Zeev; Co-founder of Hippo Assurance Assaf Wand; unicorn multiple entrepreneur and investor Bill Tai.
“Raising such a significant Series A in the current economic climate is a testament to the opportunity Fairmatic has and its proven track record in stealth mode, which we only plan to continue on an exponential trajectory,” Foundation Capital said. Charles Moulow, who also joins Fairmatic’s Board of Directors. “With a total addressable market of $160 billion, the commercial insurance category is ripe for a refresh. Fairmatic offers new ways for fleets to reap the same cost savings and technology benefits that consumers have enjoyed for years. »
Alongside Trish and Matus, Fairmatic’s All-Star C Suite also includes Ed Fordformer Chief Actuary of Progressive Insurance, and Brian Specht who led the growth of the partnership at cybersecurity insurtech unicorn Coalition. The Fairmatic team leverages the best of technology and insurance to improve the entire insurance value chain, from risk selection, underwriting and distribution, to risk mitigation. risks and claims. With its remarkable opportunity to fundamentally rethink the way fleet insurance is priced, underwritten, and designed to introduce new safety and cost-saving benefits, Fairmatic is stepping up to grow its global team with centers in the United States. , Israel and India.
Fairmatic is shaping Insurtech 2.0 by delivering the first data-driven fleet insurance that rewards safety with savings. Fairmatic’s unconventional approach to fleet insurance leverages AI-powered technology in combination with treasure troves of telematics data to create significant savings for fleets, safer roads for society and a profitable business model. Fairmatic’s subscription model has been trained and tested with over 200 billion miles of driving data to help fleets proactively manage safety issues with actionable insights.
Founded in 2017 by Jonathan Matus, a serial technologist who helped pioneer mobile Android and Facebook, Fairmatic is fundamentally reinventing the commercial automobile from the ground up to make the roads safer, one fleet at a time. Following its final Series A round, Fairmatic raised a total of $42M from Foundation Capital, Aquiline Technology Growth and other insurtech, fintech and technology angel investors. Fairmatic expands its global team. Learn more about Fairmatic at fairmatic.com or join the team of unconventional, adaptable and curious technologists by contacting [email protected].