Notch, an AI platform for regulated industries, has raised $30m in a Series A funding round, bringing its total funding to $45m.
The round was led by Headline, with participation from Lightspeed Venture Partners, Jibe Ventures, Illuminate Financial, and Phoenix Insurance. The investment reflects growing demand from regulated industries for AI automation that delivers business results without compromising accuracy or oversight.
The funding will be used to accelerate Notch’s expansion in the US and support continued development of its platform as the AI operating system for regulated industries.
Over the past 12 months, the company has grown its annual recurring revenue (ARR) by 12x, with adoption across leading global insurers, financial services firms, and other organisations operating complex operational workflows.
Notch deploys AI agents that automate and execute operational workflows end-to-end, spanning both conversational and back-office processes. On the conversational side, the platform supports broker, partner, and policyholder interactions — including policy servicing requests, document and data collection, structured intake for claims and underwriting submissions, and system-level inquiry execution.
It also functions as a co-pilot for operations teams, enabling adjusters, underwriters, and service representatives to query claim files, policy documents, and submission materials in natural language, receiving structured, traceable answers grounded in source data.
For back-office operations, the platform automates high-volume workflows by ingesting documents and communications, extracting structured data, classifying and routing submissions or claims, and prioritising time-sensitive requests for the appropriate teams.
Founded in 2021, Notch was originally established as a disruptive specialty insurer. Having experienced firsthand the challenges of operating within strict compliance and accuracy requirements, the company found that available AI tools were unpredictable, difficult to audit, and ill-suited for heavily regulated industries.
It subsequently built its own internal system before evolving it into a full commercial platform — one designed to let regulated businesses safely deploy AI across their operations, monitor performance, and scale over time. The platform is currently focused on global insurers, large brokers, and financial institutions.
Notch co-founder and CEO Rafael Broshi said, “The insurance industry is beginning to understand the full potential of agentic AI.
“However, much of the market today is focused on point solutions that automate individual tasks, resulting in fragmented systems and mounting technical debt. The bigger opportunity is connecting broker and policyholder interactions directly to governed, compliant operational execution across the insurer’s core workflows. That’s where AI moves from incremental efficiency to a real end-to-end competitive advantage.”
Phoenix deputy CEO & director of innovation and technology Gil Tamir said, “The insurance industry has moved beyond experimenting with AI and is already using it in day-to-day operational workflows.
“The hard part is building systems that meet governance and reliability requirements while also improving the customer experience. Policyholders expect to handle actions on their own, get answers quickly, and communicate in natural language that understands their situation. That combination is very difficult for most companies to build internally. You need to be able to explain every decision it makes, keep it under control, and trust that it’s consistently accurate. Notch has created a system that does just that.”
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