Fri. Sep 29th, 2023
Delos Insurance Solutions Secures $7.3 Million Funding for Expansion in California Homeowners’ Insurance Market

Delos Insurance Solutions, a company specializing in using wildfire science and satellite imagery to address homeowners’ insurance availability issues, has recently announced a successful $7.3 million seed extension round. This funding will facilitate the company’s expansion in the California homeowners’ insurance market.

The seed extension round was led by IA Capital Group, with participation from various investors including Blue Bear Capital, Gallatin Point Capital, Generation Space, Avanta Ventures, Red Dog Capital, DNX Ventures, Robert Glanville, and Jonathan Crystal.

As large national carriers reduce their exposure to California homeowners’ insurance, Delos sees an opportunity to fill the gap by collaborating with carrier partners to provide insurance options for homeowners struggling to find coverage. Delos combines its expertise in wildfire science with data from its suite of wildfire models to identify properties in stressed areas that may be considered high-risk by traditional insurers but actually pose a low risk of loss. This allows Delos to offer these homeowners full insurance coverage.

Delos’ platform utilizes a proprietary geospatial AI algorithm and over 200 data layers to analyze a home’s actual wildfire risk, including factors such as weather and wind data, drought and precipitation history, and vegetation health. This data is continuously updated within six weeks, enabling Delos to adapt to evolving wildfire perils and maintain profitability in an ever-changing climate.

Delos has a strong track record, as no home insured by the company has suffered a wildfire loss, and they have never non-renewed a home due to wildfire exposure.

Delos’ successful funding round highlights its commitment to the California homeowners’ insurance market and validates the effectiveness of its vertically integrated strategy. The company aims to write more homeowners’ insurance policies through its independent agent network and partner carriers, expanding its reach in regions where coverage is currently limited.

Investors have expressed confidence in Delos’ innovative approach to addressing the challenges of insuring homes in wildfire-prone areas. They believe that Delos’ expertise in data modeling, machine learning, and understanding wildfire behavior sets it apart from traditional insurance markets.

With this funding, Delos is well-positioned to tackle the complex issue of homeowners’ insurance in California and beyond.