Li Ka-Shing invests in insurance tech

Horizons Ventures, a private investment arm of Hong Kong business magnate Li Ka-Shing, has pumped in US15 million in its second investment round in German insurance technology start-up Friendsurance.

Joined in by other strategic investors and business angels from Asia and the US, the latest funding round is claimed to be the biggest investment in the peer-to-peer (P2P) start-up insurance segment. Horizon Ventures, a return backer in Friendsurance, first invested in the company in 2014. The six-year-old startup also counts Otto Group Eventures, the German Startups Group and the European Regional Development Fund among its institutional and private investors. Friendsurace co-founder Tim Kunde said, “We intend to use the fresh capital to grow further in the German market and expand internationally. Our first expansion target for 2016 will be Australia. We are considering expansion opportunities for further markets.”

Kunde noted the second investment made by technology-investor Horizons Ventures in Friendsurance serves as a “certificate of trustworthiness” in their startup’s concept and development. Horizons Ventures project director Frances Kang said, they believe the insurance ecosystem is ripe for change and disruption. “Customers demand more understanding and control over their policies, and transparency when processing claims. As early mover in the innovation of insurance tech, Friendsurance’s unique business model improves the efficiency and experience for both the consumer and the insurer, but the biggest beneficiaries will be the consumers,” Kang said.