Layoffs at Bestow

Based on information obtained by Coverager, life insurance startup Bestow is laying off 50-75 employees, or about 20% of its staff.

We reached out to the company on Friday regarding this matter, but still haven’t heard back.

According to a recent LinkedIn post, at least 40 employees were let go.

Bestow started as a D2C life insurance provider but it later added an enterprise component which allows partners to offer a digital life insurance experience. The startup has raised ~$137 million to date and its latest round of funding was announced in December 2020.

This post has been updated with a statement from Bestow:

“As with many other tech companies, we must respond to the changing market conditions. We decided this past Friday to reduce our workforce by 14%, which impacted 41 members of our team. We are grateful for their many contributions and sad to see them go.

We are heavily investing in business areas that have demonstrated the greatest growth potential and a faster path to profitability, such as our enterprise, partner and advisor solutions. We remain confident in the future of Bestow, our team and leadership, and the opportunity to continue to scale and achieve our mission of increasing financial security for everyone.

We have built the most comprehensive and innovative end-to-end platform capable of powering transformation in the life insurance industry at large. From our experience, great companies and teams rise to the challenge in difficult market conditions, which we are excited to do for our customers and partners.”