Gradient AI raises $36 million

According to Crunchbase and an SEC filing, Gradient AI raised a $36 million round from unknown backers, bringing its total funding to $67 million.

Founded in 2018 and based in Boston, Gradient AI is a provider of AI solutions to improve loss ratios and profitability by predicting underwriting and claims risks with greater accuracy, as well as reducing quote turnaround times and claim expenses through intelligent automation.

Gradient AI’s list of clients includes:

• Questco: A PEO firm that uses Gradient AI’s SAIL product to improve its underwriting process and speed up quote turnaround time. Questco serves small and mid-sized businesses, offering services like payroll, health insurance, HR services, and workers’ compensation.
• Skyward Specialty: An insurer using Gradient AI to enhance its Accident and Health (A&H) division’s stop-loss solution, SkyVantage. This utilizes Gradient AI’s SAIL medical underwriting solution to better assess group health risks by combining Gradient AI’s medical dataset and machine learning with their underwriting expertise.
• BTIS (Builders & Tradesmen’s Insurance Services, Inc.): A commercial agency employing Gradient AI’s underwriting solution to evaluate risks more accurately and quickly. This helps BTIS capture more business, reduce loss ratios, and deliver faster quotes. Gradient AI’s risk scoring and underwriting model allows BTIS to create customized and cost-effective workers’ comp policies for its carrier customers.

Gradient AI’s insurer backers include American Family and MassMutual. The company has a team of 98 people, according to LinkedIn.