Insurtech firm, Eleos, has secured $4m seed investment to expand its fully digital life insurance and income protection product offerings.
Founded in 2022, Eleos is on course to pass the £1 million revenue mark by the end of 2024. The funding will also help Eleos to partner with more financial brands in the UK.
The firm's B2B2C solution offers APIs and white-labelled journeys, allowing its partners to benefit from new revenue streams, enhanced customer retention, and full regulatory coverage under its FCA authorisation.
Eleos’s current partners include the credit-building specialists Loqbox and CreditLadder and flexible loans providers CreditSpring and Updraft.
Its customer attraction and retention plan also involves offering its customers several free ancillary benefits to offset the cost of their insurance premiums. These include a 24/7 remote GP service, mental health support and a scheme that gives cashback on everyday purchases.
In the UK, the current penetration of life insurance is only 35% and for income protection just 6%. Eleos says its mission is to accelerate adoption rates of these products through raising awareness and improving access.
Eleos’s CEO, Kiruba Shankar Eswaran, said:
“With our new funding we will launch more lines of insurance in the life and disability verticals and strike more distribution partnerships in the UK. Part of the funding is also earmarked to launch operations in the US.”
Mark Pearson, founder of Fuel Ventures, commented:
“We’ve been looking for a way into the insurtech sector for a long time but to do that we need a team with specialist experience, an understanding of the challenges and access to a substantial market. With Eleos we’ve found all three and we believe their products encapsulate our thinking about the insurance space – giving people easy access on familiar platforms. We’re working together to make our shared vision of the future a reality and that’s why we’ve doubled down on our support for their growth and expansion.”
Stephan Morais, managing general partner of Indico Capital Partners, added:
“Indico is happy to keep supporting experienced founders such as the founders of Eleos. The insurtech market has plenty of room to grow and Eleos is targeting areas which are not only sizeable but overlooked by other current players globally.”
