BlueOrchard backs Naked's $38m funding round
South African insurtech Naked has secured $38 million in a Series B2 funding round.
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South African insurtech Naked has secured $38 million in a Series B2 funding round joined by global impact investor BlueOrchard, with increased support from existing backers Hollard, Yellowwoods, the International Finance Corporation (IFC), and Germany’s development finance institution DEG.
Launched in 2018 by actuaries Alex Thomson, Sumarié Greybe, and Ernest North, Naked reimagined insurance through a fully digital platform that leverages artificial intelligence (AI) and automation to offer convenience and transparency. Its app enables customers to obtain final insurance quotes in under 90 seconds and buy cover online, submit claims, or pause accident coverage, all without the need for any phone calls.
The new funding will fuel Naked’s growth by deepening its investment in automation and AI, product and market expansion, and enhancing advertising to grow its customer base. Additionally, the funds will be used to meet the regulatory capital requirements.
“This investment marks an exciting milestone as we continue to define a new category of insurance,” says Alex Thomson, co-founder of Naked. “It’s a strong vote of confidence from both our existing shareholders and our new investor, BlueOrchard. Their support validates the success of our business model and highlights the significant progress we’ve made in making insurance more accessible and convenient. Building off the base of a loyal community and unique technology platform, we are positioned for strong growth in the years ahead. We’re deeply grateful to South African consumers for embracing this new generation of insurance and to our investors for their trust in our vision.”
“Naked’s focus on using technology to expand access to insurance fits perfectly with our InsuResilience Investment Fund strategy,” says Richard Hardy, private equity investment director for Africa at BlueOrchard. “This funding will help Naked broaden its reach and develop new products that strengthen the financial resilience of its customers.”
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