TLDR:
- Augmentum Fintech has led an £8m ($10.4m) investment round in Artificial Labs, contributing £4m to the insurance technology firm
- Artificial Labs has developed underwriting technology to better place commercial and specialty risk
- Augmentum CEO Tim Levene said the London insurance sector represents a significant opportunity for digitisation
Insurance technology (insurtech) firm Artificial Labs has received an £8m ($10.4m) cash injection after an investment round led by UK-based venture capital firm Augmentum Fintech.
Prompted by the growth of the insurtech start-up, which is focused on the London insurance market, the £8m funding will be dedicated to the development of technology to improve the underwriting process.
AI and algorithmic placement
A significant proportion of Artificial Labs’ funds will be invested in enhancing its AI and algorithmic placement technology for commercial and specialty risk.
The round was led by Augmentum Fintech, an investment firm specialising in early-stage investment in fintech companies, which invested £4m.
Augmentum CEO Tim Levene highlighted the insurance market’s potential for further digitisation, saying: “The London insurance sector remains large and profitable but represents a significant opportunity for further digitisation and Antonio and Carlo and the team at Artificial are incredibly well-placed to be the key drivers of that.’
Artificial Labs previously closed one of the largest seed funding rounds in the insurtech sector when it secured £4.2m in financing last year. Since then, the start-up has developed systems to enhance the London insurance market’s underwriting process.
Its focus on helping insurers develop their algorithms was a big draw for Augmentum.
Source: Verdict via Verdict Life via AlphaWeek editorial
