PALO ALTO, Calif.--(BUSINESS WIRE)--Hippo Enterprises, the high-growth insurtech group that’s transforming home insurance, announced a capital investment of $350 million from Mitsui Sumitomo Insurance Company, Limited, a subsidiary of MS&AD Insurance Group Holdings, Inc. Through this partnership, Takashi Sato, a managing partner of MS&AD Ventures, the corporate venture capital fund of MS&AD Insurance Group Holdings, will join Hippo’s board of directors as an observer.
The investment will support Hippo’s product roll out in additional states, to reach 95 percent of the U.S. homeowners population in the next year, as well as providing additional capital for its insurance and reinsurance companies. The investment solidifies the strategic partnership between the two companies, which began with MS&AD Ventures’ initial investment in Hippo’s Series E funding round in July, 2020.
“Mitsui Sumitomo is one of the best when it comes to risk management and shares our desire to leverage data and analytics to create better outcomes for homeowners,” said Assaf Wand, CEO and Co-founder of Hippo. “We’re excited to deepen our partnership and gain additional catastrophe modeling expertise from one of the world’s largest insurers.”
Hippo and Mitsui Sumitomo Insurance Company, Limited plan to sign a reinsurance treaty. Mitsui Sumitomo will take on a portion of risk to support Hippo’s Insurance Company, a national property and casualty insurer licensed in 50 states and rated A- (Excellent) by A.M. Best Company.
“We value the innovation that Hippo brought to the home insurance space through its advanced classification of risk,” said Shinichiro Funabiki, Director, Vice President Executive Officer at Mitsui Sumitomo Insurance Company, Limited. “We look forward to learning from one another through our strategic partnership, providing high value-added products and services to customers of both companies in the U.S. and Japan, and to continue to support Hippo, which quickly became a top insurtech in the U.S. home insurance space and is beloved by its customers.”
Hippo Enterprises, Inc. is on a mission to transform home insurance for the modern household. The company brings homeowners closer to a modern home insurance experience with an efficient online purchase experience using trusted data sources, a smart home device kit included with eligible policies and more available coverage for possessions like appliances, electronics and home offices. Headquartered in Palo Alto, California, with insurance products available to over 70 percent of homeowners in the U.S., Hippo Insurance Services is a licensed property casualty insurance agent with products underwritten by various insurance companies. For more information, including licensing information, visit www.hippo.com.
MS&AD Insurance Group Holdings, Inc. and Mitsui Sumitomo Insurance Co., Ltd.
MS&AD Insurance Group Holdings, Inc. is an insurance holding company, which is the 5th largest non-life insurance group globally*1 and No 1.*2 in terms of market share in Japan. Its mission is to contribute to the development of a vibrant society and help secure a sound future for the planet. MS&AD Insurance Group Holdings, Inc. enables safety and peace of mind through the world-leading insurance and financial services business to customers in 49 countries and jurisdictions. For a sustainable and resilient society, MS&AD Insurance Group Holdings, Inc. commits to build on creating shared value with stakeholders.
Mitsui Sumitomo Insurance Co. Ltd. is the core non-life insurance company of MS&AD Insurance Group Holdings, Inc., whose strength lies in its comprehensive capabilities and global presence. It boasts a world-class*3 network as the only non-life insurance company with direct business in all ASEAN-10 countries in Asia.
MS&AD Insurance Group Holdings, Inc. and Mitsui Sumitomo Insurance Co. Ltd. align their initiatives with the United Nations’ SDGs (Sustainable Development Goals), utilizing various resources within the Group to help solve global issues such as climate change and preservation of biodiversity.
*1 Fortune Global 500 (2019) Insurance Property & Casualty (Stock + Mutual)
*2 Net Premiums Written market share (2019) (Prepared by MS&AD Insurance Group Holdings, Inc. based on publicly announced company information and data from the General Insurance Association of Japan)
*3 MS&AD Insurance Group Holdings, Inc. is No. 1 in terms of non-life gross premiums written in the ASEAN region (2018) (Prepared by MS&AD Insurance Group Holdings, Inc. based on publicly announced company information from each country and region (excluding reinsurance companies))
MS&AD Ventures, Inc.
Founded in 2018, MS&AD Ventures is a corporate venture capital firm of MS&AD Insurance Group Holdings based in Menlo Park, California. The firm invests in start-up companies worldwide, operating in the information technology sector such as A.I., big data, cybersecurity, fintech, insurtech, SaaS, mobility, and life and health. The CEO, Jon Soberg, and President, Takashi Sato, have been named to the “Top 100 Powerlist” of investors in the GCV Powerlist Award 2020, which is an award given by Global Corporate Venturing, a global media company related to corporate venture capital (CVC).