WithCoverage, an artificial intelligence risk management platform, has raised $42 million in Series B funding, led by Sequoia Capital and Khosla Ventures, with additional support from 8VC and Crystal Venture Partners.
WithCoverage was founded by Opendoor co-founders JD Ross and Max Brenner to reinvent the way fast-growing companies manage risk and move beyond traditional insurance brokers.
The company explains that it combines AI analytics with insurance and legal experts to identify risks early, improve coverage and cut costs.
WithCoverage co-founder JD Ross commented: “Insurance brokers have had the same commission model for decades – when you pay more, they get paid more.
“We built WithCoverage to lead with our clients’ interests, not our own, and to end this conflict of interest.”
WithCoverage co-founder Max Brenner added: “Our platform typically saves customers over $100,000 per year in insurance costs while identifying and remediating risks that could lead to significant losses.”
Roelof Botha, partner at Sequoia Capital, said: “WithCoverage uses artificial intelligence to enhance human expertise and promote the integration of insurance and technology.
“The insurance brokerage industry has remained largely unchanged over the past few decades and is now poised to benefit from advances in artificial intelligence.
“The industry has also historically focused on carriers, rather than businesses seeking insurance. JD.com and Max have built a solution that puts customers first.”
“JD.com and I are joining forces at Opendoor to attack one of the most entrenched industries in real estate. Risk management is even more outdated,” said Keith Rabois, general partner at Khosla Ventures.
“Max and JD are applying software, artificial intelligence and appropriate incentive alignment to a system that has been in need of reinvention for decades.”
