Coalition Raises $40M
Coalition, the cyber insurance company for small and midsize businesses, closed a $40m funding round led by Ribbit Capital with participation from Greenoaks Capital and Hillhouse Capital.
Founded in 2017, the San Francisco, CA-based company offers organizations insurance coverage and cybersecurity tools that offer protection from the entire spectrum of cyber risk, including coverage for network breaches, systems failures, ransomware, business interruption, funds transfer fraud, privacy liability, regulatory fines and penalties, property damage, and more.
With this new funding, Coalition will expand its global, internet-scale data platform, which analyzes “hundreds of millions of data points” to assess organizations’ risk within minutes. Coalition will scale this global platform to provide cybersecurity risk management tools to any organization for free.
“Cyber losses cost the global economy an estimated $1.5 trillion each year, forcing thousands of SMBs to close their doors after experiencing a security failure. Outdated approaches to cybersecurity aren’t working. While companies can’t eliminate cyber risk, they can eliminate the cost of it.” – CEO and Cofounder of Coalition, Joshua Motta.
“The cyber security industry is massive, at over $100 billion in revenue, yet security providers fail to eliminate breaches on behalf of their clients. By contrast, the cyber insurance industry, which actually shares the incentives of its customers to prevent breaches, is only $4 billion today. The relative size of these two markets should be inverted. Coalition has the strongest team to change the way businesses manage cyber risk having built an unrivaled intelligence platform to underwrite risk based on the real time indicators that an attacker would use, and a real capability to assist during a claim.” – General Partner at Ribbit Capital, Nick Shalek.