Investors in the round were Element Ventures, Seventure Partners, and Claret Capital Partners participated in the funding round. These substantial funds will enable Hepster to fuel its growth ambitions in its existing markets.
With the fresh $11 million investment, Hepster aims to accelerate its growth in the markets it currently serves, namely Germany, Austria, and France. The company prides itself on employing state-of-the-art technologies to revolutionise the insurance industry.
As Hepster secures this significant investment, it is poised to continue disrupting the insurance industry with its innovative approach and technology-driven solutions, providing seamless insurance experiences to customers across various sectors.
What does Hepster do?
Founded in 2016 by Christian Range, Hanna Bachmann, and Alexander Hornung, the company has become a dedicated exponent of embedded insurance, a thriving market segment projected to reach a staggering valuation of $30 billion by the end of the decade.
At the core of Hepster’s business model lies embedded insurance, which leverages technology to seamlessly integrate insurance products into the checkout processes of e-commerce platforms. This strategy primarily targets non-insurance brands, including car rental companies, tour operators, and high-end retailers.
By providing consumers with insurance at their fingertips, Hepster eliminates the need for individuals to seek standalone insurance policies, thereby alleviating the stress and hassle associated with the traditional insurance model.
Hepster’s growth trajectory is evident in its achievements to date. In just seven years of operation, the startup has amassed a customer base of over 225,000 insurance policyholders and established partnerships with more than 2,500 B2B and B2C companies. Notably, the InsurTech firm has achieved an astounding growth rate of 1,500% over the past three years.
Commenting on the investment, Hepster CEO Christian Range expressed his satisfaction, stating, “We are pleased about the unreserved trust of our investors, but also the trust placed in our entire team, which has delivered outstanding performance over the past seven years.”
Backing this sentiment, Michael McFadgen, Partner at Element Ventures and a notable Insurtech investor, highlighted Hepster’s future-oriented business model and their previous successful collaboration. McFadgen said, “Our decision to continue supporting Hepster is based on their future-oriented business model, but above all on our previous cooperation. With its focus on embedded insurance, Hepster has been able to establish a strong market position.”
