Pie Insurance raises $315 million
Pie Insurance has raised $315 million in a Series D financing round led by Centerbridge Partners and Allianz X , with participation from White Mountains Insurance Group, Gallatin Point Capital, Greycroft, Acrew Capital, and others. To date, Pie has raised over $615 million.
The company will use the funds to expand into new lines of business, fully transition to a full-stack carrier, and further innovate upon its “advanced proprietary pricing algorithms.”
Pie Insurance operates as a managing general agency for Sirius America Insurance Company and based on regulatory filing, total direct premiums written/produced by Pie for the first six months of 2022 was $141.7 million. It appears that Pie is the only workers’ comp producer for Sirius America Insurance Company and according to the filing, the insurer earned $113.4 million in premiums while incurring losses of $82.8 million during the first six months of 2022.
“This round of financing is monumental in more ways than one. It’s no secret that growth-stage startups, and specifically insurtechs, are facing a challenging fundraising environment. However, Pie’s ability to grow rapidly while still focusing on delivering strong unit economics and sustainable loss ratios, is proving to be a key differentiator. Pie is disrupting the highly fragmented small business commercial insurance market through our proprietary technology which more accurately prices and underwrites insurance risks. We believe the insurtech 2.0 phase of this industry-wide transformation will be built by companies like Pie that leverage their technology to ‘do the insurance better’ and deliver superior traditional insurance metrics along with a delightful customer experience.” – John Swigart, co-founder and CEO of Pie.
“Pie’s demonstrated ability to grow across multiple distribution channels at impressive loss ratios truly distinguishes them within the insurtech space. We’re attracted to technology enablement in the small commercial insurance market, and Centerbridge is excited to partner with Pie on its journey to transform the industry.” – Eric Hoffman, managing director at Centerbridge Partners.
“We’ve been continuously impressed by Pie’s innovation and ability to deliver strong growth and underwriting results since our relationship began with co-leading the company’s Series C round in early-2021. We’ll be there to support Pie every step of the way as the company continues its bold transformation to a full-stack insurer and expansion into new lines of business.” – Dr. Nazim Cetin, CEO of Allianz X.