Clearcover overview

Clearcover is a mobile app that leverages machine learning to assist drivers with searching and buying coverage, filing claims or upgrading their policy. The company states its able to cut costs through its API platform and data analysis, which enable it to integrate with partners that can communicate with customers when an insurance quote is relevant. Their partners include car sales, insurance shopping partners and personal finance services. The result is a large percentage of their policies are completed online end-to-end, with no human interaction. 60% of its claims are also handled digitally.

The Chicago-based startup also offers Alternate Transportation coverage, whereby insureds who have been in an accident are reimbursed with a rental car, bike, Uber or Lyft.

In 2018, the startup announced the expansion of its API offerings for financial services. As a result, companies from price comparison sites to car manufacturers will be able to easily add Clearcover car insurance to their current offering.

Clearcover claim it had tripled policy sales in 2019, compared to that of 2018, and that it had thereby quadrupled its premium.

In January 2020, just under a year since their $43m Series B, Clearcover announced it had raised a $50m Series C. The round was led by OMERS Ventures, and will be used to add state-markets - the company aims to eventually reach all fifty states.

In June 2020 Snapsheet and Clearcover expanded their partnership, with Snapsheet now disbursing digital payments to claimants and vendors for Clearcover, on top of digitising the other steps in the claims process. The move provides better payment status transparency for customers, as well as offering increased opportunities for automation.

Just over a year since its $50m Series C, Clearcover raised $200m in April 2021 as part of a late-stage funding round, reportedly achieving Unicorn status. Clearcover revealed it is currently exploring new product areas to expand into. It is also planning to expand geographically - aiming to reach around 25 states by the end of 2021, up from its current 15. 

Map showing the location of Clearcover

Chicago, United States

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Key people

Kyle Nakatsuji Founder & CEO
Derek Brigham Co-Founder & Chief Operating Officer
Adam Fischer VP of Product
Victor Pascucci Board Director
Norman Smagley Executive Vice President and CFO
Alyssa Spagnolo Board Observer
Michael Yang Board Director
Vandana Venkat Chief Insurance Officer
Peter Gunder Board Member