State Auto Labs Moves the Insurance Innovation Needle in just 18 Months
Columbus, OH–May 22, 2019–Today, State Auto Labs, the innovation arm of the State Automobile Mutual Insurance Company, is revealing impressive momentum just a year-and-a-half since launching its $25 million corporate venture fund to support entrepreneurs and innovations in the insurance industry. In partnership with investor startup studio, Rev1 Ventures, State Auto Labs has been steadfast in its commitment to identifying, adopting, and investing in transformative insurance technologies and solutions.
To date, the fund has invested in five insurtech startups, including Flyreel, an artificial intelligence (AI) solution for property insurance that raised $3.85 million recently; Snapsheet, the leader in virtual claims solutions; Matterport, a world leader in 3D capture technology and data; Authentic, Inc., which improves efficiencies in medical claims, and Cape Analytics.
“State Auto Labs has been a very valuable partner for us,” said Ryan Kottenstette, CEO and Co-Founder of Cape Analytics, the provider of the most accurate and up-to-date property data for insurers and reinsurers. “More than simply an investor, they bring a deep perspective on insurance, paired with a collaborative approach, and a sense of urgency — all of which are key ingredients in building a company from scratch.”
“There has been enormous change to the insurance industry, and our approach has validated that disruptive ideas need a disruptive approach,” said Mike LaRocco, President and CEO of State Auto Automobile Mutual Insurance Company. “One of the challenges insurtech startups face is bureaucratic red tape and processes within large corporations; however, because of our nimble approach, State Auto Labs is accelerating investments in this space, and as a result, is also accelerating advancements in the industry.”
As part of this initiative, State Auto works directly with startups to provide rapid feedback on whether a technology solution may be a fit with internal operations. When there is a fit, State Auto moves forward toward a full operational partnership as efficiently and quickly as possible. To date, State Auto has operationalized 15+ new technology solutions. State Auto Labs is unique in that all portfolio companies are in a working relationship with State Auto’s core business.
State Auto Labs continues to focus on partnering and investing with startups addressing four key areas:
- Technologies that connect, collect, and communicate with people, vehicles, offices, and homes (i.e., Internet of Things and wearables),
- Data-driven innovations that improve analytics and decision-making (i.e., machine learning and artificial intelligence),
- Technologies that help the independent agent run their business, and
- Operational solutions that seek to anticipate the changing needs of insurance customers and agents, while also tapping into excellence with internal operations.
“Rev1 continues to seek out ways to better support entrepreneurs through real-world experience that helps them develop their solutions, prove their market, and ultimately, build scalable and successful companies,” said Tom Walker, CEO of Rev1 Ventures. “We are thrilled with the abundance of strong insurtech ideas coming out of Columbus. State Auto Lab’s momentum speaks to the potential of our unique approach that focuses on furthering insurance innovation from the inside out.”
For more information about the fund and how to connect, visit http://www.stateautolabs.com.
About State Auto Labs Corp.
State Auto Labs Corp., a wholly owned subsidiary of State Automobile Mutual Insurance Company, is growing innovations that are reinventing the insurance industry. Backed by nearly 100 years of insurance expertise, State Auto Labs supports the transformation of the industry by giving startups access to a nimble and responsive approach that better fuels business growth and drives innovation. In collaboration with Rev1 Ventures, the State Auto Labs venture fund also connects startups with capital, technologists and insurance industry experts to identify and invest in new technologies, while also serving as an early adopter of them.
About Rev1 Ventures
Rev1 Ventures is the investor startup studio that combines capital and strategic services to help startups scale and corporates innovate. Based in the Midwest, and in the number one city for scaling startups, Rev1 aligns innovators and founders with corporate and research partners to access customers and markets, helping entrepreneurs build great companies. With a proven track record of identifying, guiding and investing in high potential startups, Rev1 helps companies solve real problems for markets in need of real solutions. Rev1 has $90MM in capital under management, providing a capital continuum from corporate and community partners, as well as the Ohio Third Frontier. Rev1 is the 4th most active seed investor in the U.S., according to PitchBook. For more information, visit www.rev1ventures.com.