UK based insurtech Zego has closed a $42 million Series B funding round which is one of the largest ever for a European based Insurtech startup.
In total, Zego has now raised $51 million. This round was led by venture capital fund Target Global but included some other high profile names and investment firms, such as TransferWise founder Taavet Hinrikus, Balderton Capital, Tom Stafford of DST Global, and an investment from LocalGlobe’s new fund ‘Latitude.’
Zego was founded in 2016 to provide flexible insurance for work platforms like Uber and Deliveroo. Since platform launch, Zego has expanded its offerings to provide insurance to other industries. Zego offers a range of policies from “minute-by-minute insurance” to annual cover, providing far more flexibility than traditional insurers, with pricing based on usage data from vehicles.
Capital Law advised Zego on all of the corporate and equity aspects of the investment round. Philip Barratt, Senior Associate, led the investment on behalf of Capital Law, with Catherine Golledge, Solicitor.
Nick Pester, Partner at Capital Law said:
“From the start we’ve always aimed to work with the true innovators within the Insurance market, who are pushing boundaries and driving positive change for the customer. Zego are one of the best examples of this currently operating globally, and we’re lucky and proud to be helping them to realise those ambitions. We’re looking forward to the next steps in that journey, whatever they may be!”
Philip Barratt, Senior Associate at Capital Law said:
“It was fantastic to work with Zego on this stage of its growth. Zego is an impressive, innovative business that is genuinely market disrupting. It has been a pleasure to work with Zego, together with Target, Balderton and the other investors, to support the execution of such an important funding round.”
Harry Franks, Co-founder and CCO at Zego said:
“Capital Law have been a strong partner for us not only through this last fundraise, but also continually, supporting with all aspects of the business. It’s been fantastic to work with the team, and their specialism in insurance and technology makes them the leaders in this space.”