The investment is designed to strengthen Coterie’s technology-driven approach to the SMB insurance market, Allianz X says.
“Coterie has an exceptional platform for the SMB insurance market, a segment that is both attractive and challenging.” Alexander De Kegel (pictured above, left), chief investment officer and managing director of Allianz X North America.
He added that the agreement demonstrates Allianz X’s commitment to the segment and signals the next phase of Coterie’s growth, which will be pursued by leveraging the strengths of both organizations.
Coterie reports that 65% of its policies are bound within the first 24 hours of the initial touchpoint.
“Coterie enables agents and brokers to profitably write and service small and micro commercial accounts, and we are doing it with strong operating leverage to ensure long-term viability in this segment,” said David McFarland (pictured above, right), CEO and founder of Coterie.
He noted that the company’s investment in AI-driven underwriting and servicing is uncovering new opportunities.
As part of the deal, Allianz X is leading Coterie’s Series C investment round. The agreement also includes plans to expand the reinsurance relationship between Coterie and Allianz Reinsurance, the reinsurance division of Allianz Group.
Coterie Insurance also recently announced it is relocating its headquarters from Cincinnati, Ohio, to Appleton, Wisconsin. The company cited the region’s workforce and business environment as key factors in the decision.
In late 2024, Coterie also entered a partnership with Simply Business LLC, a digital insurance marketplace, to issue business owners’ policies (BOPs) entirely online. This collaboration enables small businesses to access BOP coverage in a single transaction.
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