News

Clearcover Raises $200M in Series D

April 13, 2021 By Cate LeSourd

Clearcover, a next generation insurance company, today announced a new $200 million Series D round of funding. The financing round was led by Eldridge, with participation from existing investors including Hyde Park Angels; LightBank; American Family Ventures; Cox Enterprises, owner of AutoTrader and Manheim auto auctions; and OMERS Ventures, the venture arm of a Canadian pension fund; as well as additional new investors. The insurtech startup has raised $329 million in total funding to date.

“The car insurance experience is becoming increasingly digital and customers want streamlined, customizable options when choosing a carrier,” said Kyle Nakatsuji, Co-founder and CEO of Clearcover. “In an industry ripe for transformation, we see ourselves as innovators in digital car insurance experiences while providing our customers more value for less money. This new capital will allow us to continue our growth across the country, providing better insurance to more customers.”

The Chicago-based company has been steadily adding markets since it began selling insurance in 2018 and now sells in 15 states. Clearcover takes a digitally native API-based approach to insurance to offer consumers the lowest prices on insurance. This round of funding will double its overall headcount by investing in and growing its insurance, product and engineering teams. In addition, the new funding will accelerate innovation and expansion into new markets by improving and adding new services to its insurance product.

HPA Deal Lead John Higginson has served as a serial CTO across a couple of marquee Chicago tech companies including Groupon (current), Enova (a publicly traded FinTech company) and FTD (a premier floral and gifting company). Given his background, John brings an understanding of how to build and scale consumer tech products.

Congrats to Kyle Nakatsuji and the Clearcover team for this exciting growth!

Read more about the round in the press release or Crain’s Chicago Business.