Insurtech startup Urban Jungle has raised £16.5m in a Series A funding round led by Intact Ventures.
The firm will use the Series A investment to scale its UK home insurance business and expand into new markets.
Urban Jungle is a home insurance provider for renters and homeowners. It aims to make insurance cheaper through its online-only services and AI tech for detecting fraud.
The round also drew investment from Ingka Group, the parent company of Swedish furniture designer and seller IKEA. Additional investment came from previous backers Eka Ventures, Mundi and former Prudential UK CEO Rob Devey.
“Fraud is a big problem in our industry, and it drives up the cost for everyone else. The way we use technology gives us a critical edge by being able to screen out fraudsters, and help genuine customers get a much better deal, which is particularly important at the moment,” said Jimmy Williams, co-founder and CEO, Urban Jungle.
Founded in 2016 by Jimmy Williams and ex-Google developer Greg Smyth, the funding follows on from an £8m investment in June last year and brings Urban Jungle’s total funding to date to £32m.
“By leveraging the latest in automation as well as a digital-by-default strategy, Jimmy and Greg have built an impressive business that consumers love,” said Justin Smith-Lorenzetti, head of investments, Intact Ventures.
Recently fellow insurtech company Ondo completed its £8m SPAC IPO on the London Stock Exchange.
This latest round of funding puts Urban Jungle at a valuation between $87-131m according to Dealroom.
Urban Jungle employs 50 members of staff and is based in London.
“They have developed an innovative solution with the potential to complement and disrupt the current insurance market and make insurance affordable for many more people,” said Krister Mattsson, managing director, Ingka Investments.
Last month, Ingka Investments launched an incubator programme for creatives.