Honeycomb Insurance Raises $36M to Enhance AI Technology

Honeycomb Insurance has recently obtained a large amount of investment of $36 million through a Series B funding round. Zeev Ventures led the round alongside new investor Arkin Holdings, and existing investors Launchbay Capital, Ibex Investors and Phoenix Insurance, as well as IT-Farm.

With Honeycomb’s AI technology, we can manage risk granularity, underwrite “at the building level” and deliver consistent coverage at a lower cost for well-managed properties. Honeycomb Insurance raises $36M funding in a market valued at more than $34 billion U.S. dollars. Honeycomb is the world’s first landlord insurer to simplify the client and broker experience, utilize the proprietary underwriting technology, offer customized insurance coverage that responds to changing client needs.

The company sells policies directly through its platform and through an expanding network of top-tier insurance brokers, who can virtually “bulk-quote” unlimited submissions in real-time, dramatically simplifying a process that once took weeks to complete, resulting in increased profitability for brokers and adding a significant value for the customers.

Honeycomb Insurance has been currently operating in the sixteen largest states located in the US, which cover approximately 60% of the US market. The company insures over $21 billion in commercial real estate assets. Honeycomb Insurance expects to triple its commercial real estate assets underwriting volume in the next twelve months. To achieve this goal, Honeycomb is doubling its headcount from 90 to 180 employees over the next eighteen months.

The new funding will be used to further improve the end-user experience, driving enhanced profitability to our broker partners, and broadening the type and size of policies offered," stated co-founder and CEO of Honeycomb, Itai Ben-Zakan.

Adding to this he also says “We plan to deepen our technological advantage with proprietary AI models leveraging unique first-party data and expand into new insurance markets, turning Honeycomb Insurance into a one-stop shop for everything related to commercial real-estate insurance in the U.S."

"Honeycomb is an example of an Insurtech company that solves a major problem in a huge market, thus allowing it to increase ARR at a fast pace and progress to operational profitability in a short time," said Oren Zeev, the Founding Partner at Zeev Ventures, which has invested in category-defining companies such as Navan, Houzz, Next Insurance, Tipalti, and Sunbit, among others. "I am happy with this opportunity to lead the current round, as the company’s unique technological advantage positions it well to become the market leader in their space."

Honeycomb provides Property and Casualty (P&C) insurance underwriting to landlords and condo associations throughout the United States. Honeycomb combines aerial imagery and street-level photography with state-of-the-art technologies, such as computer vision and AI, to underwrite risks more precisely and in real-time. Our deep-tech-enabled underwriting delivers significant value to our customers and agents while growing at a compound annual growth rate (CAGR) of 200-300%. Based in Chicago, IL, Honeycomb is a full-service P&C insurer serving the U.S., Canada, Mexico, Central America, Europe, Asia, and Africa. Honeycomb has offices in Tel Aviv (Tel Aviv, Israel), Los Angeles (L.A.), New York (New York City), Washington, D.C., Philadelphia (Philly, D.C.), and Atlanta (Atlanta).