Cuvva, the app-based insurance provider that began life offering pay-as-you-go driving cover but has since expanded to also sell travel insurance, has raised £15 million in Series A funding.
Backing comes from RTP Global, Breega and Digital Horizon, joining existing investors LocalGlobe, Techstars Ventures, Tekton and Seedcamp. A number of angels also joined the round, including Dominic Burke, the CEO of Jardine Lloyd Thompson, and Faisal Galaria, the former chief strategy and investments officer of GoCompare.
Launched in 2016 when founder Freddy Macnamara (pictured) become frustrated he couldn’t let others drive his car intermittently because of lack of insurance cover, Cuvva was an early pioneer of pay-as-you-go car insurance.
The idea, which was easier explained than done, was to make it possible to insure a car only when it was being driven, and therefore be cheaper for low-mileage drivers, and, via an app and access to the DVLA database, make it easier to on-board new drivers for pay-as-you-drive cover.
The insurtech still offers hourly car insurance, but its product line has since been expanded to daily covery, as well as a product specifically aimed at learner drivers. In addition, Cuvva entered the travel insurance space, no doubt spotting overlap with its presumably younger, millennial demographic.