Jerry – Intelligent Auto Insurance Platform Raises $75M in Series C at $450M Valuation

Jerry, one of our portfolio startups and AI-powered intelligent auto insurance platform that allows users to compare and buy best suitable car insurance in 50 US states as a licensed insurance agency has raised $75M in Series C at $450M valuation just after raising $28M in Series B three months ago.

Yes, Jerry had Series B just three months ago and with this quick Series C, the total funding amount of Jerry now stands at $112M. The Series C round was led by Goodwater Capital in participation with Bow Capital, Highland Capital Partners, Kamerra and Park West Asset Management.

Co-founded in 2017 by Art Agrawal, Lina Zhang and Musawir Shah, Jerry gets quotations from 50+ insurance companies and gives you the best quotes as compared to your current insurance coverage which you can easily switch to without any hassle since Jerry handles all of the paperwork.

The new funding round fuels the launch of the company’s “compare-and-buy” marketplaces in new verticals, including financing, repair, warranties, parking, maintenance and “additional money-saving services.” Although Jerry also offers a similar product for home insurance, its focus is on car ownership.

Jerry, which says it has evolved its model to a mobile-first car ownership “super app,” aims to save its customers time and money on car expenses. The Palo Alto-based startup launched its car insurance comparison service using artificial intelligence and machine learning in January 2019. It has quietly since amassed nearly 1 million customers across the United States as a licensed insurance broker.

“What factored into the current valuation is our annual recurring revenue, growing customer base and total addressable market,” Agarwal told TechCrunch, declining to be more specific about ARR other than to say it is growing “at a very fast rate.” He also said the company “continues to meet and exceed growth and revenue targets” with its first product, a service for comparing and buying car insurance. At the time of the company’s last raise, Agrawal said Jerry saw its revenue surge by “10x” in 2020 compared to 2019.

“Today as a consumer, you have to go to multiple different places to deal with different things,” Agrawal said at the time of the company’s last raise. “Jerry is out to change that.”

“Access to reliable and affordable transportation is critical to economic empowerment,” said Rafi Syed, Jerry board member and general partner at Bow Capital, which also doubled down on its investment in the company. “Jerry is helping car owners make the most of every dollar they earn. While we see Jerry as an excellent technology investment showcasing the power of data in financial services, it’s also a high-performing investment in terms of the financial inclusion it supports.” 

Goodwater Capital Partner Chi-Hua Chien said the firm’s recurring revenue model makes it stand out from lead generation-based car insurance comparison sites.

Please read full story at TechCrunch.