Insurtech startup Useful Finance has raised $8m in a seed financing spherical to additional increase operational effectivity for the insurance coverage business.
New Enterprise Associates (NEA), Walkabout Ventures, and Altai Ventures led the seed financing spherical.
The funding spherical additionally noticed participation from varied traders together with C V Starr Insurance coverage.
Established in 2021, Useful Finance merges and automates data in addition to studies features for insurance coverage firms.
Aside from the seed capital, the corporate additionally secured $2m in SAFE notes for future fairness funding.
Useful Finance intends to leverage the funds to expedite the event of merchandise and advertising and marketing actions for optimising back-office processes for companies within the insurance coverage sector.
Its know-how could possibly be included into the company companions’ finance tech stack, thereby delivering billing/invoicing, assortment of premiums, financing, reconciliation, processing of payables, reporting and linking again to the final ledger.
The software program platform additionally offers full visibility at a coverage or account degree by way of automated integration.
Useful Finance CEO Rashmi Melgiri stated: “At my final startup I realised firsthand that spreadsheets and emails are terribly inefficient, error-prone and dear methods for the insurance coverage business to handle their payables and receivables.
“You possibly can construct fast-growing companies and take funds on-line however reconciling that on the again finish is commonly neglected and deprioritised, leaving it to intensive guide labour.
“There was an incredible alternative to create an automatic know-how resolution that may make the business transfer quicker, and the expertise must be extra environment friendly and constructive for shoppers and clients.”
