Neo Insurer Hedvig raises $45 million for European Expansion in a Series B led by Anthemis
- Hedvig will launch its fourth market in the coming months, taking its first step outside the Nordics
- 40% of the company’s growth comes from word-of-mouth
- Hedvig has an EU-wide carrier license in place, ready to take on the $400 billion European property and casualty market
Stockholm, 29 September 2021 - Following its recent launch into Denmark, Nordic neo insurer Hedvig announces today that it closed a $45 million Series B funding round led by Anthemis with participation from existing investors including Cherry Ventures, Obvious Ventures, CommerzVentures, along with Swedish Novax, Nineyards Equity, Jonas Kamprad and Mathias Kamprad.
In just a few years, Hedvig, a licensed full stack insurance carrier, has become a cult brand among the younger generation in the Nordics. 40% of Hedvig’s policy growth is currently organic and predominantly attributed to word-of-mouth, thanks to the company’s reputation for stellar service and ultra-fast claims handling.
Today, Hedvig insures 70,000 people across three markets, the majority of whom are under the age of 30. Last year, Hedvig grew its gross written premium by 200% and retained an NPS score ten times higher than the industry average. With this new round of funding, Hedvig is accelerating its European expansion agenda and plans to launch in its fourth market in the coming months; this time outside of the Nordics.
Lucas Carlsén, CEO and co-founder of Hedvig, describes the fundraise:
“We have created an insurance experience based on the younger generation’s on-demand expectations. Integrated in our home insurance is something we call “clumsiness” insurance. We’ve got your back, even if the damage was caused by your own blundering. And when you need us, you only need to submit a simple voice message to receive assistance within minutes. We love to spoil our members and to see how word is spreading. Anthemis’ deep understanding and experience of both financial technology and insurance make them the perfect ally as we scale this proposition across Europe.”
The Series B investment was led by Anthemis Partner, Ruth Foxe Blader, and Managing Director, Matthew Jones. Blader previously led AllianzX’s investment into US insurer, Lemonade.
“The Hedvig team has a truly unique mix of talent and skills in technology, design and insurance. The combination of their creativity and customer empathy gives them an advantage that will be difficult for others to follow. Insurance is exciting again!” says Matthew Jones, Managing Director at Anthemis who will be joining the Hedvig Board of Directors.
Prior to the series B round, Hedvig raised a total of $23 million and successfully secured partnerships with SCOR and Hannover Re, two of the world’s largest reinsurers.
Hedvig is a new approach to insurance. It’s about freedom and being ok with your life, no matter what happens to you. Launched in Sweden in 2018 and today present in all Scandinavian countries, Hedvig is an EU-licensed carrier providing home, travel, contents and clumsiness insurance. Hedvig aims to set new standards for the insurance industry. With stellar service and ultra fast claims handling, Hedvig is creating a service that people actually long to use. Hedvig’s business model is built to avoid conflict-of-interest. 25% of the premium goes to Hedvig, the rest goes to a common claims pool for whenever a Hedvig member needs help. If there’s anything left in the common claims pool at the end of the year, that amount is donated to charity.
Anthemis cultivates change in the financial system by investing in, growing and sustaining businesses committed to improving the world. We are founded on three guiding principles — authentic collaboration, virtuous cycle outcomes, and diversity and inclusivity — and our deep understanding of markets and models, passion for emerging technology and values inspire everything we do. By creating fertile ground for a diverse group of startups, investors, entrepreneurs, institutions, academics and visionaries to converge, we believe we can solve the financial services world’s most pressing challenges faster, better and for the benefit of all.