South African digital insurance provider Pineapple has announced the conclusion of a R400 million funding round – the largest insuretech fundraiser ever in Africa. <\/p>\n\n\n\n
The investment was led by new investors Futuregrowth, Talent10 and MIC, whilst existing investors Old Mutual ESD, Lireas Holdings, ASISA ESD Fund and E4E Africa also gave additional funding. <\/p>\n\n\n\n
Pineapple said that the new funding came off the back of robust growth and sustainable claims ratios that exceed industry standards for a newer insurance portfolio.<\/p>\n\n\n\n
\u201cThis funding round stands as a testament to our tech and AI-powered operating model, enabling our mission to offer affordable and comprehensive insurance to all South Africans,” Pineapple co-founder and CEO Marnus van Heerden said. <\/p>\n\n\n\n
The group’s technology and AI-powered operating model allow it to service customers at 20% of the cost of traditional insurance providers, enabling them to pass this cost saving in insurance premium savings to customers. <\/p>\n\n\n\n
“Their (Pineapple\u2019s) exceptional growth and customer-centric model exemplify a potent combination of technology and market understanding,” Amrish Narrandes, Head of Futuregrowth Asset Management’s Private Equity\/Venture Capital, said.<\/p>\n\n\n\n
“With our R100 million investment, we are thrilled to spearhead this round, fueling Pineapple’s journey in redefining the insurance landscape.” <\/p>\n\n\n\n
Tens of thousands of customers have insured their vehicles with Pineapple, with nearly 50% of customers being first-time insurance buyers. <\/p>\n\n\n\n
The company offers car insurance via its website and app in partnership with Old Mutual Insurance, allowing customers to get a full insurance quote and buy their policy in under two minutes. <\/p>\n\n\n\n