Hippo, a Mountain View, California-based startup offering homeowners 60-second home insurance quotes online and the ability to sign up directly for insurance plans as well, has raised $70 million in a funding round led by Felicis Ventures and Lennar Corporation.
The startup was founded in 2015 by Assaf Wand and Eyal Navon. Since the launch of its product in 2017, the company has raised a total of $109 million from investors including Abstract Ventures, Aquiline, Comcast Ventures, Fifth Wall Ventures and Pipeline Ventures. All of the major investors from the past have also contributed to the latest Series C round, aimed at expanding the company.
“I’m excited that we have the resources that we need to continue pushing the company in the direction we need,” Wand told Inman.
Wand said the newfound capital will go toward developing the insurance product and growing its team of staff.
Along with the money raised, Hippo will also be partnering with Lennar, an investor and the nation’s largest homebuilder, to offer insurance to those who are building rather than buying houses.
Fifth Wall, which regularly funds real estate startups and has co-led Hippo’s Series B funding round, facilitated the partnership.
“You don’t buy home insurance, you buy a home,” Wand said. “We’re trying to align ourselves with people that are very much ingrained with the home purchasing industry.”
Felicis Ventures’ Victoria Treyger and Lennar senior executive Eric Feder will also join Hippo’s Board of Directors.
“Hippo has clearly captured the direct to consumer home insurance market with their efficient product, modern coverage and customer friendly process,” Feder said in a statement. “This investment marks the beginning of our relationship with Hippo and reflects our enthusiasm for exploring opportunities to streamline and improve the insurance process for our home buyers.”
“Homebuying is the engine of the American economy, but the process for acquiring homeowners insurance – a requirement for most home owners – has been antiquated, analog and inefficient,” said Brendan Wallace, co-founder and managing partner at Fifth Wall, in a prepared statement. “This game-changing partnership is a great example of how a real estate incumbent like Lennar can influence innovation cycles in the market – by integrating with a best-in-class startup to move the industry forward.”