Estonian FinTech startup DriveX has closed a $1m investment round to help with its European expansion efforts.
DEPO Ventures served as the lead backer, with commitments also coming from Plug and Play Ventures.
The round also received commitments from 37 angel investors, including Skeleton Technologies co-founders Oliver Ahlberg and Taavi Madiberk, Cleveron CEO Arti Kütt, Katana MRP co-founder Kristjan Vilosius, and MeetFrank co-founder Marko Virkebau.
Capital from the round will help the InsurTech company expand across Europe and explore use cases within vehicle rental, leasing and sales processes.
Founded in 2019, DriveX aims to digitise vehicle inspection processes through AI-assisted technology. Its current focus in the auto insurance industry, which has an estimated worth of $880bn, it said.
Its technology automates pre-inspection processes, saving insurers up to 90% of inspection costs. Its image recognition technology ensures quality and reliability of input from insurance applicants on the condition of their vehicle.
The company is releasing the next stage of its platform – an automated visual damage detection solution. It hopes this can eradicate fraud from vehicle inspections and accident recovery.
DriveX co-founder and CEO Rauno Sigur said, “Estonia and the Baltics is a great place to start. Many call it the sandbox of innovation. Estonian startups are known to be outstandingly capital-efficient, which is a fundamental advantage in building a startup. DriveX already has large insurance corporations as customers in Estonia, Latvia, Lithuania, Croatia, and Romania.
“The next big markets we will be addressing are Poland, Czechia, and Romania to strengthen our position as the market leader in CEE. We also plan to dive deeper into market demand from other continents, such as Africa and the Middle East.”
Tuum, a fellow Estonian FinTech company, closed a €1m investment earlier this week. The company provides a cloud-agnostic core banking platform to financial companies.
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