LegalTech Nuvalaw, the multi-award-winning claims resolution platform that specialises in online negotiation and arbitration of P&C insurance claims, has announced a successful raise of $3m in a pre-series A financing round.
The funding was prominently led by London’s Semantic Capital, a private investment holding entity that places its bets on innovative, software-driven solutions with unique intellectual properties. The financing consisted of a mix of equity and debt.
Nuvalaw, in conjunction with its UK joint venture partner Trust Arbitration, has managed to secure a commendable clientele, comprising eight significant insurers and seven major law firms. Their joint accolades include winning the Insurance Times Claims Partner Of The Year Award, Claims Achievement Award at the Claims Excellence Awards, and the Legal Claims Partner Of The Year at the Insurance Times Awards.
This newly acquired funding will be channelled to further enhance Nuvalaw’s already flourishing presence in the UK market. The aim is to expand their cloud-based claims resolution platform, integrating AI technology to tackle a broader spectrum of legal issues. The move into the US market by Nuvalaw has been highly anticipated, especially given the country’s notorious litigation and claims resolution expenditures.
At present, the average waiting duration for personal injury claims in the UK can extend up to 546 days, leading to claimant dissatisfaction, increased operational expenses for insurers, and liquidity issues for claimant lawyers. Nuvalaw’s innovative platform efficiently streamlines and organises all documentation and interactions online. This has resulted in compressing the lengthy resolution process of intricate insurance claims from over a year to just a few days, generating savings of almost 80% in parallel costs.
Nuvalaw’s Chief Executive Willie Pienaar said, “The backing of Semantic Capital is a great vote of confidence in the future of Nuvalaw. It will enable us to build on the successes of the last few years and help take Nuvalaw to the next stage of our business development internationally, including looking at building new products in the UK and how we can support US-based insurers and claims firms to slash their costs and speed up claims resolution.”
Semantic Capital’s CEO Craig King remarked, “We’re delighted to make this investment, and to become part of Nuvalaw’s journey as it continues to revolutionise the claims resolution space with its proven technology and expertise. There is a huge opportunity, both in the UK and US markets, where loss adjustment expenses, including litigation management expenses, run very high.”
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