UK InsurTech Innovator Marshmallow Raises £68 Million to Surpass £1.5 Billion Valuation
Marshmallow, a leading British InsurTech firm specializing in car and van insurance for newcomers to the UK, has successfully secured approximately £68 million in new funding. This significant investment aims to enhance the company’s offerings and expand its reach.
Funding Boost for Marshmallow InsurTech
The recent funding round, which includes both equity and debt, featured notable participants such as Portage, BlackRock, and Columbia Lake Partners. According to Business Cloud, this capital injection has nearly doubled Marshmallow’s valuation to over £1.5 billion, following its Series B round three years prior.
Mission to Serve Immigrants and Expats
Founded with the goal of making insurance more accessible for immigrants and expatriates, Marshmallow has established a unique position in the UK market. The company leverages proprietary technology and in-depth customer data insights to provide fairer pricing, effectively challenging the higher premiums often imposed on newcomers.
Plans for Expansion Beyond the UK
With the newly acquired capital, the London-based firm aims to:
- Enhance its product suite for better customer service.
- Expand its offerings to include financial services for immigrants in other countries.
- Establish itself as a comprehensive financial platform for global citizens.
To date, Marshmallow has insured over one million drivers and has reported a turnover run rate exceeding $500 million. The company’s mission focuses on improving financial access for individuals frequently marginalized by conventional insurers.
Leadership Vision
Oliver Kent-Braham, co-CEO and co-founder of Marshmallow, expressed his ambitions, stating, “Our goal is to become a one-stop financial shop for newcomers, simplifying the process of moving and living in a new country. While we have aided over one million individuals in the UK with their insurance needs, we recognize that significant financial barriers still exist for newcomers.”
He further emphasized that this funding will enable Marshmallow to address these challenges and continue its mission of enhancing the financial landscape for immigrants.
Industry Recognition
Devon Kirk, general partner and co-head at Portage Capital Solutions, praised Marshmallow’s innovative approach, stating, “Marshmallow is a clear leader in innovating to solve critical financial challenges for consumers. We are confident in the business’s ability to further develop solutions for a fairer financial ecosystem and are excited to support this talented team as it enters its next growth phase.”
Marshmallow’s latest funding round follows its successful Series B investment completed in 2021, underscoring its ongoing growth and commitment to transforming the insurance industry.
For more insights into the evolution of the InsurTech industry, check out our related articles on InsurTech Trends and Financial Services for Immigrants.
