Insurance auction platform honcho has raised up to Â£735,740Â in its crowdfunding campaign, following 556 investors contributed.
The crowdsaleâ€™s initial target was Â£650,000 and was raised at the pre-money valuation of Â£1.35m. Following the close, on the CrowdCube platform, the company sold 35.27 per cent of its equity.
UK-based honcho is a mobile-based â€˜reverse auctionâ€™ where consumers receive bids from insurers trying to offer the best deal. The platform, which is planned for a July launch, charges insurers Â£1 for each bid, and the consumer chooses the one they want.
The company hopes to increase transparency and simplicity for consumers getting the best insurance products, while also driving competition and lowering costs for insurers.
Earlier this week, Francisco Partners acquired InsurTech company Connecture in an undisclosed deal. The company is a health insurance marketplace that enables insurers to offer consumers personalised shopping experiences, through recommendations based on preferences.
Late last year, mobile couponing app GreenJinn bagged Â£670,000 from its own crowdfunding campaign on the CrowdCube website. The company will use the investment to boost its marketing and developing teams.
The European InsurTech sector saw a steady decline across the first three months of 2017, with funding declining from $90m to just $15m. Not only did the capital drop by a significant amount, but there were only a third of the deals in Q3 than that in Q1.