Honeycomb, digital MGA for multi-family property insurance, launches with $ 3.3 million
Honeycomb, general managing agent (GMO) for commercial real estate insurance, announced its launch in North America following a $ 3.3 million increase.
Investors in Honeycomb (formerly Agilius) include Phoenix Insurance, New Era Capital Partners, IT-Farm Corp. and NFP Ventures.
San Francisco-based Honeycomb aims to change the way multi-family property insurance is purchased, underwritten and managed.
Itai Ben-Zaken, co-founder and CEO of Honeycomb, argues that this $ 22 billion market is currently inefficient and outdated, so it can take weeks for homeowners and condo associations, condominium owners and homeowners who purchase this insurance to receive a quote.
âThe market is fragmented and lacks underwriting transparency and sophistication, resulting in expensive policies and inadequate coverage,â the company said, promising that AI-based underwriting based on Honeycomb data will provide “custom fonts at the right price” and quote binding. in a few minutes.
âIt’s mind-boggling that personal lines have come so far and that advertising is blocked in the past,â said Ben-Zaken. âPolicyholders who buy HOA insurance shouldn’t have to deal with manual forms, lengthy underwriting reviews, weeks of waiting, or documents going from client to broker to underwriter and vice versa for every change. This is where we make a difference. With Honeycomb, there is no more manual subscription or lack of quality data points, no more paper forms and no more endless email exchanges.
Honeycomb is currently only available in Illinois, but it plans to expand to five more states by the end of 2021. It is licensed in 11 countries: Arizona, California, Colorado, Illinois, Maryland, Michigan, New Jersey, New York, Pennsylvania, Texas and Washington.
Honeycomb California agency license says he has appointments with dozens of P&C insurance companies including Ace, American Casualty, Chubb, Continental Casualty, Golden Eagle, Great Northern, Ohio Casualty, Pacific Employers, Peerless Insurance, Philadelphia Indemnity, Spinnaker Insurance, Travelers and Westchester Fire and Vigilant Assurance.
Honeycomb works in partnership with brokers across the United States, so customers have the option of purchasing insurance through an agent or directly on its website.
Online customers receive competitive options in real time after answering a few questions. They can link the police immediately and have up to seven days to complete the remote inspection via the Honeycomb app by taking photos of the building structure and key risk indicators inside the premises.
After purchase, the app provides risk mitigation recommendations, as well as a digital complaints process.
The co-founders of the company include Manny Rios, former CEO of American Modern and Director of Underwriting at USAA. Rios is the Underwriting Manager for Honeycomb.
In 2002, when it was called Agilius, the company won first place in InsurTech NY’s 2020 startup competition out of 200 companies.
NFP Ventures, launched by insurance broker NFP, agrees the multi-family market could be improved, especially for smaller accounts.
âMulti-family property insurance in the United States is one of the most inefficient insurance markets,â said Adam Blumencranz, vice president of NFP Ventures. “Complex policies, too small to warrant extensive manual underwriting practices, lead to an overall risk assessment where many insurers restrict coverage based on region or building age.”
Blumencranz said Honeycomb is looking to correct this with an AI-powered underwriting that makes it easier to purchase personalized insurance for all types of buildings. The platform’s risk management offerings “also allow brokers to have more frequent and meaningful engagement with clients throughout the life of a policy,” he added.
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