New investor Augmentum, a prominent London-listed venture vehicle, led Artificial Labs’ Series A+ funding round, which totalled $10 million (£8 million). Other key investors in this round include MS&AD Ventures and FOMCAP IV.
The infusion of capital aims to bolster Artificial Labs’ capabilities in algorithmic underwriting, aligning with the industry’s growing shift towards digitalisation.
The news follows the recent announcement that Placing Platform Limited (PPL) and Artificial Labs signed a multi-year partnership agreement, which will see both firms working together to accelerate delivery of a fully integrated digital trading experience.
Artificial Labs, recognised as an underwriting tech provider in London’s insurance market, intends to leverage the new investment to expedite its expansion efforts and diversify its product offerings. With a focus on algorithmic underwriting software, the company aims to solidify its position in an evolving insurance landscape increasingly inclined towards digital solutions, as highlighted in a recent market update.
Since its successful Series A funding round in June 2022, Artificial has achieved several significant milestones. The company has rapidly grown its team and bolstered its leadership with the appointments of Ascot founder Martin Reith as Chairman in 2022 and, in 2023, Deana Murfitt as Chief Operating Officer and Jen Tan as Head of Portfolio Strategy.
David King, Co-CEO and Co-Founder of Artificial, commented, saying: “Our latest funding round is a testament to the exciting work we’re doing at Artificial. We are thrilled to have the expertise and support of the Augmentum team and our committed existing investors on this next phase of our journey.
“This round of funding will enable us to accelerate our growth and continue to innovate in the algorithmic and augmented space. In 2024 we will further the development of our underwriting platform, exciting AI solutions and our Contract Builder product, which is already seeing great traction in the market.”
Commenting on the news, Tim Levene, CEO of Augmentum Fintech, said: “We are delighted to lead Artificial’s latest round. The insurance market remains ripe for further digitisation and the introduction of algorithmic underwriting will improve efficiency for all participants.”
“We are delighted to lead Artificial’s latest investment round. We firmly believe that the era of algorithmic underwriting will redefine market dynamics in the insurance space. As more sophisticated ‘smart follow’ underwriters enter the London Market, we will see a significant transformation in the process of underwriting risk.
Reginald de Wasseige, Principal at Augmentum Fintech, said: “The most adept lead underwriters, equipped with substantial auto-follow capacity, are poised to become highly sought-after by brokers seeking to place business. We look forward to working with David, Johnny and the entire Artificial team for this next phase of their journey. Our investment is a testament to our confidence in their vision and execution capabilities.”
A statement released by Artificial, also said: “We are thrilled to announce our £8m Series A+ funding round led by Augmentum Fintech with participation from existing investors including MS&AD Ventures and FOMCAP IV. This investment will allow us to continue to expand the team, develop our algorithmic underwriting platform and progress our Contract Builder tool, which is already live in the market with several brokers.”
Author: Joanna England
