Allianz X today announced it has co-led the USD 250 million Series F funding round of San Francisco-based cyber insurtech Coalition, Inc., valuing the company at USD 5 billion. Allianz X joined Valor Equity Partners and Kinetic partners in the Series F alongside other existing Coalition investors. The funds raised in this investment round will be used to accelerate Coalition’s rapid growth, power its international expansion, and broaden the services Coalition offers to help organizations manage digital risk.
Coalition’s ‘Active Insurance’ approach combines industry-leading security tools, access to around-the-clock incident response, and broad insurance coverage to help organizations identify, mitigate, and insure digital risk. Coalition now serves over 160,000 customers with Active Cyber Insurance, Active Executive Risks Insurance, P&C insurance, and cybersecurity capabilities.
“Coalition’s active, tech-based approach to cybersecurity and cyber insurance has proven to be profoundly effective, which is also reflected in its outstanding business results,” said Dr. Nazim Cetin, CEO of Allianz X. “The trends driving the importance of cyber defense are irreversible. We see an active approach as the most effective solution for addressing cyberthreats to businesses both now and in the future.”
“Many organizations remain unprotected in the face of rising digital threats, and neither traditional insurance nor cybersecurity alone is well equipped to help them,” said Joshua Motta, CEO and co-founder of Coalition. “Our active approach to underwriting, monitoring, and responding to digital risk has allowed Coalition to achieve market leading underwriting results while demonstrably reducing claims and losses for our customers so they can continue to thrive in the digital economy.”
Last week, Allianz Group announced a new multi-year capacity partnership with Coalition to expand its cyber insurance business. Allianz is providing Coalition with long-term committed capacity for its US cyber insurance programs and will lead its UK cyber program when it launches later this year. The partnership combines Allianz’ products and distribution network with Coalition’s Active Cyber Insurance approach. The investment by Allianz X extends the partnership and strengthens Allianz’ commitment to one of the most promising companies in insurtech and cybersecurity today.
“Cyber is one of the top risks for businesses—irrespective of size—and one that has to be taken seriously by us all,” said Scott Sayce, Global Head of Cyber at Allianz. “We are seeing an increasing professionalization of cybercrime. At the same time, in a technology-driven world, companies are dependent on ensuring secure IT systems and protecting their data-based knowledge. Defending against cyberattacks has, therefore, become essential. With this partnership, Allianz reiterates and expands its support for SME and MidCorp clients in the US and UK with the combined power of Coalition and Allianz.”