Flock announces $17 million Series A fundraise led by Social Capital to help reinvent insurance for connected vehicles
Flock has raised $17 million in funding to supercharge its expansion into new geographies and product lines — marking a significant milestone as it builds a global, fully digital insurance company for connected and autonomous vehicles.
The round was led by Social Capital, the Californian investment firm run by renowned tech investor Chamath Palihapitiya, who is Chairman of Virgin Galactic and an early backer of Slack, Tesla and Bitcoin. Flock’s existing investors Anthemis and Dig Ventures also participated.
With this new funding, Flock plans to rapidly grow its high-calibre, diverse team, hiring for more than 60 roles across every function. It has also has plans to expand its motor product into multiple European countries and develop entirely new product lines.
Ed Leon Klinger, CEO of Flock, said: “Transportation is changing faster than ever, but the traditional insurance industry can’t keep up! The proliferation of electric cars, new business models such as ridesharing and the emergence of autonomous vehicle post huge challenges that traditional insurers just aren’t equipped for.
“Modern fleets need an equally modern insurance company that moves as fast as they do. Commercial motor insurance is a $160 billion market, crying out for disruption. The opportunity ahead of us is enormous.
Everything we do is led by our mission to make the world a smarter, safer place. We strong believe that the insurance company of the future won’t just pay claims; it will actively help its customers avoid them in the first place. That’s the future we’re building at Flock. We’re delighted that Social Capital has decided to support us, and join us for the ride.”
Flock provides exposure-based insurance for fleets of commercial vehicles, including drones, cars, and vans. It wants to help customers save time, money and even lives with our products.
In 2018, Flock launched the world’s first ‘pay as you fly’ drone insurance app, rapidly expanding to capture more than 35 per cent of the UK commercial drone market.
The company currently insures thousands of commercial drone operators globally, which includes pilots flying for the BBC, Netflix, and conducting medical delivery flights for the NHS.
And in 2020, it expanded into the rapidly evolving world of commercial motor fleets, launching the world’s first real-time insurance product for car rental platforms, courier companies, and corporate fleets.
In just one year, revenues have grown 38x and Flock has welcomed onboard flagship customers such as Jaguar Land Rover’s, The Out, and Virtuo, a leading on-demand car rental app.
Commenting on the raise, Palihapitiya added: “Flock is bridging the gap between today’s insurance industry and tomorrow’s transportation realities. Flock has the potential to help unlock and enable a truly autonomous world and even save lives. We’re excited to be part of their journey.”