insurances
Wefox worth $4.5 billion after funding round
The application of Wefox on an iPhone. Photo: Christoph Dernbach/dpa
© dpa-infocom GmbH
With an app for managing insurance policies in one place, the Berlin start-up is now active in five countries. New investor money is now to be invested in further growth.
The Berlin start-up company Wefox has collected a further 400 million US dollars from investors. This increases the value of the digital insurance specialist from 3 to 4.5 billion dollars, Wefox announced in Berlin on Tuesday. The insurance company started in 2014 with a digital platform for managing insurance policies. The company has also been active as an insurer itself since 2018.
Wefox wants to use the cash injection to finance further growth. The company is currently active in Germany, Austria, Poland, Italy and Switzerland. Wefox has expanded its workforce from 550 employees in 2020 to more than 1300 employees.
Development against the trend
The sponsors include Mubadala Investment, Abu Dhabi’s state investment company. A total of 1.3 billion dollars has already flowed into Wefox. The company explained that with the financing round, Wefox is going against the trend of devaluations of tech companies and showing that the European insurance market continues to focus on innovation and at the same time has growth potential.
“The increase in our valuation to $4.5 billion is a clear validation of our business model and makes us the most trusted InsurTech on the market,” said Julian Teicke, CEO and co-founder of Wefox. The company already has more than two million customers, “and we are on track to surpass the three million customer mark by the end of this year.”
According to its own statements, Wefox generated sales of more than 200 million US dollars in the first four months of 2022. By the end of the year, they want to achieve the sales target of more than 600 million dollars. Last year, Wefox had a turnover of 320 million dollars.