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Honey Insurance launches with $15.5M AUD, the largest seed round ever for an Australian tech startup

When Richard Joffe moved his family to Australia in 2019, he said applying for home insurance “was like traveling back in time 30 years.” “I found the sign-up process painful, the fine print was confusing and the insurance company was totally reactive, not proactive. They never contacted me aside f…

  • Posted on 31st Aug, 2021 08:49 AM
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Honey Insurance launches with $15.5M AUD, the largest seed round ever for an Australian tech startup Image

When Richard Joffe moved his family to Australia in 2019, he said applying for home insurance “was like traveling back in time 30 years.”

“I found the sign-up process painful, the fine print was confusing and the insurance company was totally reactive, not proactive. They never contacted me aside from my renewal,” he told TechCrunch. Joffe, who founded parking sensor platform Park Assist and jobs platform Stella.ai in the United States, began researching and found many people in Australia shared the same frustrations. This was the impetus for him to found Honey Insurance, which launches today with $15.5 million AUD (about $11.9 million USD), the largest seed round ever raised by a tech startup in Australia, according to Crunchbase data.

The funding was led by institutional investors RACQ (the insurer that also underwrites Honey Insurance), PEXA, Metricon, ABN Group, Mirvac, AGL, SFG and Apex Capital. Individual investors include Zip founder and global CEO Larry Diamond; Afterpay co-founder and CEO Anthony Eisen; former MEBank CEO Jamie McPhee; former Corelogic CEO Graham Mirabito; Airtasker co-founder and CEO Tim Fung; and former News Corp Australia and Foxtel CEO Peter Tonagh.

The capital will be used on hiring, with plans to fill 80 positions over the next 12 months, and research and development.

Honey Insurance launches with $15.5M AUD, the largest seed round ever for an Australian tech startup View Story

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