Cover Genius has received a significant funding boost totalling $15 million from King River Capital and Leap Capital, thanks to its e-commerce deals.
Chris Bayley and Angus McDonald established Cover Genius in 2014 to provide insurance to customers of internet-age businesses focusing on mobility, retail, travel, property, and the gig economy in Europe.
According to a report by the Australian Financial Review, Cover Genius has signed several deals with e-commerce companies amid the pandemic, including Shopee, eBay, Wayfair, and Bluetooth tracking device Tile.
The number of its customers has also jumped from 120,000 in January to over 200,000 this month, thanks to a dramatic increase in business-to-business partners from only 28 in June to 40 in October.
“With e-commerce booming, it made sense for us to take a bit of extra money and use it to push on the momentum we had with these [new] partners and set ourselves up for the future, as well as for acquisitions of other businesses that could be distressed, or a good fit,” McDonald told the Australian Financial Review.
“This year, we started expanding into Asia, and there is a whole raft of really great digital businesses spaced out there. The Shopee partnership was all done on Zoom ... and it’s the largest e-commerce platform in South East Asia.”
Chris Barter, the co-founder of King River Capital, commented: “The huge demand Cover Genius is seeing from global e-commerce platforms as they look for point of sale insurance to support their customers and drive business has been impressive.
“We’re delighted to be leading this latest financing to support this growth and a management team with the vision, expertise, and capabilities to realise the significant global opportunities.”
