London-based insurtech startup, Flock, has raised £31.5m ($38m) in a Series B capital funding round led by Octopus Ventures and CommerzVentures. Flock provides real-time data to offer insurance to commercial motor fleets and uses telematics devices in vehicles to monitor driving behaviour, similar to its rival Zego. The company aims to reduce the number of accidents and injuries on the road by providing incentives to safe drivers. Flock plans to use the funding to expand into new markets and increase its data science and engineering teams.
Flock has raised £31.5m ($38m) in a Series B capital funding round led by Octopus Ventures and CommerzVentures. The funding round saw participation from Flock’s existing institutional backers, including Social Capital, Dig Ventures, Anthemis, and Foresight Ventures. Flock previously raised £12m in a Series A funding round in July 2021. This funding round is significant as it bucks the trend of declining insurtech investment in an uncertain macroeconomic environment.
Flock’s Series B funding round has enabled the company to expand its reach into new geographies and increase its data science and engineering teams, while doubling its UK headcount in the coming years. Flock has already established itself as a provider of commercial motor fleet insurance to over 600 customers, including Jaguar Land Rover, Onto, and a third of the UK’s independent Amazon fleets. The funding round was led by Octopus Ventures and CommerzVentures and also saw participation from Flock’s existing institutional backers.
Flock was founded in 2015 by Antton Peña and Ed Leon Klinger, and it was initially focused on insuring the commercial drone industry before pivoting to commercial motor fleets in 2018. Flock’s business model is based on rewarding safe driving behaviour, with those sticking within driving parameters receiving cheaper insurance premiums. The company claims that those using Flock have reduced crash frequency by 10%. Flock works with insurance brokers, underwriters, and original vehicle manufacturers.
Flock’s successful Series B funding round is a testament to the company’s unique insurance model, which is enabled by its vast amount of data. By providing incentives for safe driving, Flock aims to reduce the number of accidents and injuries on the road. The company’s focus on the commercial fleet market has helped it establish a loyal customer base that includes some major players such as Jaguar Land Rover and Amazon. With plans to expand into new markets and increase its data science and engineering teams, Flock is well-positioned to continue its growth and impact in the insurtech industry.
