Next Insurance Doubles Gross Written Premium, Reaching Over $200 Million Run Rate

In 2020, the company expanded product offerings and markets served, raised $250M in new funding at over $2B valuation, grew its team by 82% and completed its first-ever acquisition

News provided by

Next Insurance

Feb 02, 2021, 08:30 ET

PALO ALTO, Calif., Feb. 2, 2021 /PRNewswire/ -- Next Insurance, the leading digital insurtech company transforming small business insurance, today announced a record year of growth in 2020 highlighted by reaching run-rate gross written premium of more than $200 million, increased product offerings, its first-ever acquisition and more. The company kicks off 2021 as the market leader for digital insurance products serving the underserved small business market.

In a year of unprecedented challenges, Next Insurance doubled down on its support of small business owners. The company led the industry by being the first insurance company to provide a 25% reduction in premiums to its policyholders putting over $2 million back into their pockets. Additionally, it reallocated $250,000 from its marketing budget to launch Built By Business, a campaign aimed to put small businesses back to work and featured them in its inaugural brand campaign.

Next Insurance also broadened its product offerings, expanding its Workers' Compensation coverage to 26 (32 total) additional states/territories and providing customers with Tools and Equipment and Hired and Non-Owned Auto (HNOA) coverage. To close out 2020, Next Insurance announced its first-ever acquisition of Juniper Labs to strengthen the omni-channel customer experience, furthering its goal of becoming the one-stop-shop for all small business insurance needs.

"At Next Insurance, we are incredibly proud of our unstoppable team who have all played a role in another record year of company growth," said Guy Goldstein, CEO and co-founder of Next Insurance. "In 2021 we remain focused on our mission to help entrepreneurs thrive by providing them a one-stop-shop for digital, simple and affordable insurance coverage. Insurtech is at an inflection point and we're excited to continue to impact the transformation of the industry by delivering tangible innovation that best serves the unique needs of small business owners."

Key 2020 Growth Highlights:

Supporting Small Businesses During COVID-19:

In April 2020, Next Insurance led the industry as the first insurance company in the United States to provide a 25% reduction in premiums to its policyholders
Implemented a cancellation moratorium
Next Insurance put $2,100,000 back into the pockets of small business owners to help weather the pandemic
Launched Built by Business, a campaign that re-allocated 250k from the marketing budget and put 50 small business owners back to work, creating Next Insurance's first national ad campaign, providing the businesses with national media exposure
Participated in partnership programs with GoDaddy (#OpenWeStand) and Amex (Stand For Small) to support small businesses

Dominate Small Business Insurance:

Doubled gross written premium reaching over $200 million run rate
Next Insurance announced its $250 million Series D financing led by CapitalG, Alphabet's independent growth fund, bringing the company's valuation to over $2 billion and the total amount of funding raised to date to $631 million
Hit $1M premium record in one day

Next Insurance Supports More Customers Than Ever:

Next Insurance now serves over 130K customers
Served over 94K new businesses
Number of customers with more than one policy grew 10x

Key Partnership & Channel Growth:

Next Insurance doubled its partnership ecosystem, announcing a new integration with Intuit QuickBooks and added additional partners including: BlueVine, Jobber and vCITA

Next Insurance Agent Ecosystem:

In 2020, the number of independent agents distributing Next Insurance products doubled
New written premium tripled
Launched an enhanced agent partner portal with upgraded self-service tools, including direct access to generate certificates of insurance and an integrated appetite checker

Increased Insurance Coverage to Support Becoming a One-Stop-Shop:

300 key product releases to focus on quality
Expanded Workers' Compensation coverage to 26 additional states across the US, increasing the company's overall Workers' Compensation coverage to more than 60% (total 32 states/territories)
Launched Tools and Equipment and Hired and Non-Owned Auto (HNOA) coverage to better serve its policyholders
Made 1,230 State filings to-date

Carrier State Expansion Continues to Grow:

Next Insurance is now licensed in 37 states (up from 28 at the beginning of 2020) and is rapidly expanding to become a carrier in all 50 states

Phenomenal Customer Service:

Launched the Mobile Progressive Web App available for new and returning customers on Android and iOS
Next Insurance has an average review of 4.7+ on Google and an NPS score of 74
In 2019, Next Insurance brought claims in-house, with over 50% of decisions being made within 48 hours. In 2020, the number of claims processed in-house increased by almost 5x with 82% of claims processed in house
Launched a new customer and agent experience in addition to streamlining the purchase and consultation user experience

Completed Its First Acquisition to expand Data Science Focus:

Juniper Labs acquisition furthers innovation through machine learning capabilities
Created Next Insurance Data Labs, which combines human-centric design, actuarial science, and state-of-the-art machine learning to provide scalable, industry-leading solutions that drive growth and risk-based pricing

Next Insurance Continued to Grow its Team:

Hired 181 new employees
Named a Forbes Best Startup Employer

About Next Insurance:

Next Insurance is transforming small business insurance with simple, digital and affordable
coverage tailored to the self-employed. Next Insurance offers policies that are easy to buy in 10 minutes or less and provides 24/7 access to Live Certificates of Insurance, Additional Insured, and more, with no extra fees. Revolutionizing a historically complicated insurance industry, Next Insurance utilizes AI and machine learning to simplify the purchasing process and drive down costs by up to 30% compared to traditional policies. Founded in 2016, the company is headquartered in Palo Alto, has received a total of $631 million in venture capital funding and has been recognized by Forbes Fintech 50, JMP Securities InsurTech 50 and Forbes Best StartUp Employers. For more information visit NextInsurance.com. Stay up to date on the latest with Next Insurance on Twitter, LinkedIn, Facebook and our blog.