Policygenius is seeking a buyer
According to our sources, Policygenius is seeking a buyer and is in late stages of sealing a deal. New information suggests this buyer may be Zinnia , formerly SE2.
Founded in 2014, Policygenius is a NY-based insurance broker that got its start with renters, pet and disability insurance but has since shifted focus to life insurance, targeting 40 year-olds. It offers an online platform to compare and shop for life insurance where it represents Brighthouse Financial, Pacific Life, Protective and others, and has sold around 200,000 life insurance policies as of last summer.
Despite raising two mega rounds of funding, Policygenius has never attained unicorn status. 2020 saw the announcement of Policygenius’ $100 million Series D funding round led by global investment company KKR , at a valuation of $550 million post-money. The business was rumored to IPO via a SPAC in 2021, but this plan was postponed and ultimately shelved. A year ago, Policygenius announced $125 million of new growth capital, which brought the company’s total funding to over $270 million – at a higher valuation. AXA Venture Partners , Brighthouse Financial , Global Atlantic Financial Group , iA Financial Group , KKR, Lincoln Financial Group , MassMutual Ventures , Norwest Venture Partners , Pacific Life , Revolution Ventures, and others are on the list of investors for the startup.
In June 2022, Policygenius conducted a round of layoffs that affected approximately 170 workers. The company is nothing near its peak headcount of close to 700 employees, according to data from LinkedIn, and “can not operate in the green,” according to a Glassdoor review posted over a year ago.
If matures, Zinnia, an insurance technology company from Kansas that was founded in 2005, will have acquired another insurtech company, following the acquisition of B2B life insurance distribution platform Breathe Life. One way to rationalize this deal is that Zinnia is interested in Policygenius Pro, the startup’s term life fulfillment platform.
We reached out to Policygenius and Zinnia for a comment.