New York-based InsurTech company WithCoverage has successfully raised $42 million in a Series B funding round. This financing aims to tackle traditional commission-based insurance brokerage models, particularly for businesses that are experiencing rapid growth.
The Series B round was led by notable venture capital firms Sequoia Capital and Khosla Ventures. Additional contributions came from 8VC and Crystal Venture Partners. This influx of capital signals strong confidence in WithCoverage’s vision and strategy among established investors.
According to the announcement, the funds will be directed toward enhancing WithCoverage's offerings and increasing its market reach. The goal is to provide a more efficient and transparent alternative to the conventional brokerage approach that many fast-growing businesses often encounter. By streamlining processes, the company hopes to better serve its clients while maximizing value.
This move is significant as it reflects a broader trend within the insurance industry, where InsurTech firms are increasingly challenging established norms. Owning to the focus on transparency and efficiency, WithCoverage aims to benefit businesses that may feel burdened by outdated brokerage methods. The implications of this funding raise could lead to new strategies not just for this company, but for the industry as a whole.
As WithCoverage embarks on this journey, it will be interesting to see how their approach influences both competitors and consumers in the insurance space. The future may hold new expectations for how insurance brokers operate, particularly for those working with growing businesses.
Original Source: https://fintech.global/2026/01/14/withcoverage-raises-42m-to-disrupt-insurance-broking/