Adaptive Insurance, a climate resilience-focused company that uses artificial intelligence and data to provide climate-based parametric insurance, has successfully secured $5 million in additional financing from new and existing investors.
According to the announcement, the capital injection will be used to accelerate the development and distribution of Adaptive’s products designed to address the growing risks associated with climate and weather events.
The latest round brings Adaptive’s total funding to $10 million, with participation from a group of new investors including IAG Firemark Ventures, Sunna Ventures, Room & Pillar and Connecticut Innovations.
Last February, Adaptive closed a $5 million seed round led by existing backer Congruent Ventures, with additional investment from Montauk Climate, the US arm of Seraphim Space – Generation Space, and private funders.
The recent investment will support Adaptive’s momentum in expanding its specialty product portfolio, expanding its dealer and partner distribution network and continuing to develop its proprietary climate intelligence platform.
This growth fills a huge global protection gap, with uninsured losses of $181 billion in 2024, according to Swiss Re, and $115 billion in direct climate-related losses in 2025, according to Climate Central.
Additionally, the report noted that FEMA canceled $600 million in flood assistance grants to 36 states last year.
“Businesses and homeowners today face risk from multiple directions simultaneously,” said Mike Gulla, CEO and co-founder of Adaptive Insurance. “We’re seeing gaps in coverage under standard policies. New risks are outpacing the product gaps that traditional insurance addresses.”
“Climate volatility, population movements and shrinking public resources create infrastructure gaps. Specialty insurance products have a critical role to play as they enable customers to build resilience, recover faster and maintain continuity against increasingly unpredictable disruptions. This funding allows us to continue to expand the development and distribution of our product suite and its supporting technology.”
Adaptive launched GridProtect in 2025, a “first-of-its-kind” parametric insurance for short-term outages that triggers predefined payouts based on outages verified using real-time third-party data.
Its product portfolio now includes wind/hail deductible buybacks, flexible flood products that exceed NFIP standards, and commercial equipment breakdown coverage.
The company is also supporting Tokio Marine HCC’s restaurant recovery through its proprietary platform, focusing on technology-driven solutions for emerging climate risks.
“What impressed us most was Adaptive’s ability to move from identifying market needs to launching products that deliver tangible value to customers,” said Kevin Kopczynski of Congruent Ventures. “The team has demonstrated strong execution, deep insurance expertise, and a clear understanding of how climate and infrastructure risks are reshaping protection needs. We are excited to deepen our support as Adaptive enters its next phase of growth.”
Alex Guyer of IAG Firemark Ventures commented: “Consumers and businesses are increasingly demanding insurance solutions that can adapt to risks that change more quickly than traditional products are designed to address.
“We believe the team at Adaptive is building a technology-enabled specialty insurance platform that will play an important role in resiliency and risk management in the future.”
