Insurtech company Ethos announced on Tuesday it successfully raised $35 million through its Series B financing round, which was led by early and growth-stage venture capital firm, Accel with participation from Google Ventures (GV), previous investors Sequoia Capital and Arrive, a subsidiary of Roc Nation, and a debt facility from Silicon Valley Bank.
Founded in 2016, Ethos describes itself as a “new kind” of life insurance that is built for people who do not have time for fine print, extra doctors appointments, or hidden fees. The company is licensed in 49 states and has already processed thousands of applicants for life insurance coverage.
“Ethos uses the power of technology and predictive analytics to modernize the life insurance process and align products with what families want and need during critical times in their lives. An application is fast and easy, turning a process that used to take weeks into a ten-minute experience for most customers.”
While sharing details about the investment, Nate Niparko, Partner at Accel, stated:
“The life insurance industry has had a product and reputation problem for a long time. Ethos takes a technology-first approach to eliminate friction from the applications and claims process for its customers and has built a brand that people love and trust. We’re excited to partner with Peter, Lingke and the rest of the Ethos team to help modernize life insurance.”
Ethos reported that the new round of financing, which brings the company’s total funding to more than $46 million, will help it serve growing demand from customers, and accelerate its mission to transform the $955 billion life insurance market into a more modern, digitally-driven industry. Peter Colis, CEO and Co-Founder of Ethos, went on to add:
“Ethos is proving that life insurance is something that can be bought by consumers, and not sold. We are proud to partner with Accel, Sequoia and GV on our mission to make simple, ethical life insurance.”