Sproutt declares insolvency

Life insurance startup Sproutt has declared insolvency.

Recently, Sproutt submitted a request to the District Court in Tel Aviv to initiate insolvency proceedings due to its inability to pay a debt to an Israeli bank and other suppliers, according to a report by Calcalist.

Founded in 2017, Sproutt raised $38 million to sell life insurance online and notable backers include MS&AD and Guardian Life. The startup, which was valued at $200 million, went through several layoffs and eventually it began working with independent agents. Last year, Sproutt shifted to a B2B company by offering a life insurance quoting platform for agents, and it also acquired The Reder Agency, an insurance marketing organization operating in the life space.