UK-based insurance premium financing platform PremFina has netted a $33m equity and debt investment.
Contributions to the round came from firms including Talis Capital, Rakuten Capital, Draper Esprit, Thomvest Ventures, Emery Capital and Rubicon Venture Capital.
The platform, which is regulated by the Financial Conduct Authority, provides insurance brokers with a branded premium financing service for premiums. PremFina pays the upfront payment to insurers, on behalf of the insured party. The policy holder then repays PremFina via monthly instalments including finance fee.
This investment marks the first UK premium finance solution company to receive venture funding, according to the company.
This round of capital will be used to help the company expand into global markets as well as supporting it to meet the demand in the UK, for its white-label premium finance solution.
PremFina CEO Bundeep Singh Rangar said, “Premium financing is an industry that has been crying out for innovation. The incumbents have remained largely unchallenged due to age-old barriers to entry, such as the funding required to finance insurance premiums, and the regulatory compliance and technological capability needed to meaningfully enter the market.â€
Companies currently in Talis Capital’s portfolio include RegTech platform Onfido, which recently raised a $30m funding round, and cybersecurity provider Darktrace, which closed a $75m funding round earlier this year.
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