Hedvig raises EUR9.3 mn venture capital

Home insurance startup Hedvig has raised EUR9.3 million from San Francisco based Obvious Ventures and Swedish retailer group Axel Johnson’s venture leg D-Ax.

The company uses technology to automate many of the processes including pricing and claims. According to cofounder Lucas Carlsén, much of the claim process is already automated.

“It means that if you lose your laptop in Copenhagen, you would open the Hedvig app to record a voice message. From that voice message we can determine what happened and then trigger an automatic payoff, which would happen in a couple of minutes,” Carlsén told Sifted.

One of Hedvig’s selling points is that, apart from taking its cut on what users pay in insurance fees, the money that is not paid out in claims is donated to charities.

“This is one of the last industries that are still sort of untouched by innovation and equality. So what we set out to do was changing the business model of insurance, to make sure that we should never earn more by paying out less,” Carlsén said.