Toronto-based Foxquilt, which offers online insurance solutions for small businesses, has raised $12 million in Series B funding.
According to Foxquilt, the Series B funding will support its North American expansion plans, further enhance its technology infrastructure, and broaden its product offerings. The startup noted it is “forecasting profitability by end of year.”
The financing was raised across two rounds, according to Foxquilt. The first round was led by ICM Limited and closed at the end of 2022, while the second round was completed in “recent weeks with participation from both existing and new investors,” which were not disclosed.
Foxquilt develops, underwrites, and distributes a line of its own commercial insurance products.
Founded in 2016 by CEO Mark Morissette and CFO Karim Jamal, Foxquilt aims to provide a “more transparent” means of securing commercial insurance by combatting what it describes as the “one-size-fits-all” approach it said most legacy insurance providers take. That approach often leaves businesses paying for more than they need, or vulnerable because they lack full coverage, according to Foxquilt.
With the goal of helping small businesses save on insurance, Foxquilt develops, underwrites, and distributes a line of its own commercial insurance products, leveraging data analytics and artificial intelligence (AI) to match businesses to the insurance products that are most tailored to their specific needs.
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Foxquilt’s business insurance products include general liability, professional liability, workers’ compensation, cyber, and commercial automobile insurance.
Currently available in both Canada and the United States, Foxquilt said the Series B funding will help support its North American expansion plans. The startup added the funds will also be used to further enhance its technology infrastructure and broaden its product offerings.
Excluding this Series B round, Foxquilt has raised over $12 million CAD in the past. It previously raised a $1.2 million CAD round in 2018, $3.5 million CAD in 2020 and an $8-million CAD Series A round in 2021.
Featured image courtesy Foxquilt.