Afficiency, an insurtech transforming the end-to-end life insurance buying process, announced it secured $7M in a Series A investment round led by IA Capital Group with participation from Impression Ventures, SBLI (The Savings Bank Mutual Life Insurance Company of Massachusetts) and Western & Southern Financial Group. The round was significantly oversubscribed and brings the total raised by Afficiency to $10.2M.
The investment will help to fuel Afficiency's strategy to modernize the life insurance market, bringing 100% digital in-session life insurance products to agents, distributors, carriers, and other valued partners through custom integrations. With Afficiency's API, partners can bring products into their native environments, and for those starting from scratch, Afficiency offers ready-made digital interfaces.
Afficiency is scaling and rapidly approaching profitability since its inception in just 2018. The company's capital-efficient business model is already driving millions of dollars of gross written premium through its platform each month and has experienced 1000% YOY revenue growth.
"At Afficiency, we're on a mission to provide the sellers of life insurance more relevant products and an easier purchasing experience for their clients, and we're passionate about overhauling the outdated life insurance buying process," said Mark Scafaro, CEO and Co-Founder of Afficiency. "This funding round will support us as we expand our partnership network, launch several new products and grow our team with the next generation of insurtech talent."
Afficiency's business centers around enabling the distribution of life insurance. Almost overnight, traditional distributors can empower their agents to sell digital insurance products that can be underwritten in seconds and sold in minutes, not days and weeks. Afficiency is enabling a new cohort of digital distributors such as fintechs, who have never sold life insurance before, and insurtechs. Afficiency helps these businesses serve their growing customer bases with fully digital insurance products that can be easily adopted into a digital customer journey. Afficiency supplies such products to several startups, including Sproutt, the insurance company that uses data and AI to reward people living healthy lives, and Pendella, a startup technology company offering an end-to-end digital individual life and disability insurance platform to distributors and carriers.
"Afficiency is perfectly positioned to enable digital distribution of life insurance with its suite of APIs, serving as a valued partner for established carriers, distributors and insurtech newcomers," said Rick Viton, Partner at IA Capital Group, who is joining Afficiency's Board of Directors. "We are thrilled to contribute to Afficiency's growth story, and we know its technology will continue to fuel innovation to help make life insurance more accessible to those without coverage or underinsured."
IA Capital Group is a New York-based private investment firm and manager of the Inter-Atlantic funds. IA Capital Group partners with innovative entrepreneurs in venture and growth capital investments across insurtech and fintech.
Afficiency launched under the vision of Co-Founders Mark Scafaro and Ravi Arasan, two industry mavens who brought a passion for overhauling outdated life insurance processes.
About Afficiency
Afficiency is an insurtech transforming the end-to-end life insurance buying process and accelerating the time it takes to get applicants approved and covered. With Afficiency's digital life insurance platform, it's never been easier to offer 100% digital in-session policy decisions. Afficiency enables distributors and other trusted brands to white-label and distribute Afficiency's life insurance products in a customizable way. With our proprietary API, we can bring our suite of products into our partners' native environments. And for those starting from scratch, we can offer an out-of-the-box customer journey. Afficiency works with its carrier and reinsurance partners to develop these products and has a growing product catalog spanning categories such as term, whole life, disability, and universal life. All of our products are digitally underwritten and issued to applicants within seconds. We have issued thousands of policies to date, closing the life insurance coverage gap, eliminating friction and protecting more lives. To learn more about Afficiency, visit www.afficiency.com.
Media Contact for Afficiency
Heather Valle
