Global on-demand insurance provider INSHUR has announced that it has acquired American Business Insurance Services (ABI).
The acquisition will expand and scale INSHUR’s operations in the US, the company said. INSHUR is an embedded insurance platform serving the on-demand driver economy in the US, the UK and the Netherlands.
INSHUR’s strategy will accelerate its growth in 2023 by more than 200% through the acquisition of ABI and the execution of its embedded partnerships, the company said.
Founded in 1983, ABI is one of the largest producers of commercial transportation insurance in the US, insuring more than 50,000 vehicles across the country. The acquisition will allow INSHUR to serve on-demand drivers and fleets in all 50 states.
The acquisition will also strengthen INSHUR’s product portfolio and allow it to further promote safe driving practices through its underwriting capabilities, the company said. The deal also gives INSHUR more access to claims data, offering more effective product development for fleet managers and on-demand drivers.
“The on-demand driver economy is growing exponentially around the world, so the ability to provide access to competitive insurance policies that match drivers’ needs is becoming imperative to delivering the best user experience possible,” said Dan Bratshpis, co-founder and CEO of INSHUR.
“Since 2016, INSHUR has been successfully insuring and protecting a professional class of drivers with our seamless integration of technology and underwriting expertise to match the experience of our partner platforms,” he said. “Now, with the acquisition of ABI, we’ll be able to bring our world-class commercial insurance products to hard-working drivers and fleet managers across the US, supporting them with policies that suit drivers’ lifestyles and working hours.
“ABI has a hard-won and excellent reputation for delivering the best products for America’s commercial auto industry, and now the addition of INSHUR’s technology, partnerships and underwriting expertise will help to create a true best-in-class offering. Together, INSHUR and ABI will enable a new generation of entrepreneurial drivers to make a good living for themselves and their families while staying safe and protected.”
“For four decades, ABI has worked tirelessly to support the drivers that keep the American economy moving, from single owner-operators through to large fleet businesses,” said Dave Haley, CEO of ABI. “Our legacy is that we have always been at the forefront of technology innovations for drivers, which has led to thousands of satisfied customers through the products and services we have provided over the years.
“Now, it’s the insurance industry’s turn to transform itself through new technology and practices, and we know INSHUR is the company to lead the way. INSHUR’s unrivaled technology and partnerships will revolutionize the way commercial auto insurance is underwritten, managed and delivered, and I am very excited to join forces with the entire INSHUR team on our journey together.”
INSHR also recently completed a capital raise of $26 million. The fundraising was supported by existing investors including JVP, Munich Re Ventures, Viola Fintech and MTech Capital, and is an up-round to INSHUR’s Series B fundraising in 2021.
“In a platform economy of micro to small businesses, insurance simply hasn’t matched the needs of its insureds,” said Erel Marfalit, chairman and founder of JVP. “It is why we are proud to be invested in INSHUR, which is enabling a whole generation within the digital labor workforce to confidently embark on work through its dynamic insurance platform across the US and Europe.
“Whether you’re a courier delivering Amazon packages or working in rideshare using a platform like Uber, INSHUR is on course to become the category leader in commercial on-demand insurance. INSHUR’s ability to do dynamic, real-time AI rating and pricing and understand each driver for their own merits can make a big difference in the ability to provide them with the right kind of insurance solutions.”
“With this latest round of funding, we’re thrilled to see INSHUR set its sights on expansion into the broader US market while still maintaining an emphasis on strong profitability and low loss ratios,” said Oshri Kaplan, managing director at Munich Re. “By expanding their embedded insurance product with their partners, INSHUR is well-positioned to bring their innovative insurance solutions to even more customers across North America and European markets.
Have something to say about this story? Let us know in the comments below.
