London-based insurtech startup Diesta has raised $1.9m (£1.5m) in a funding round to scale its payments platform for the insurance industry.
Founded in 2022, Diesta has built a platform for insurance providers to process premium payments.
According to the company, insurance firms spend around $32bn annually on allocating premium payments. Diesta claims that by automating the reconciliation and distribution of insurance payments, costs can be reduced by three quarters.
“We are addressing a problem which I experienced first-hand, and thousands of insurance entities continue to face on a daily basis,” said Julian Schoemig, co-founder of Diesta.
“This is an example of a legacy industry practice that is costing insurance companies millions every year.”
The funding round included participation from San Francisco-based VC Restive, SixThirty, Antler, SystemaNova and Westerly Ventures.
“We know how challenging payment reconciliation is in the global insurance industry and were extremely impressed by the expertise, dedication and technological sophistication of the team,” said Ryan Falvey, a partner at Restive.
The cash injection will go towards product development and scaling as the startup looks to capture the UK premiums market.
Last year, Diesta received a £120,000 investment from Antler as part of a group of eight startups that received a share of a £960,000 funding pot.