Originally published by Fintech & Finance News on May 3, 2022
Bluezone, an insurtech reinventing life insurance for people with chronic illnesses has announced a £1.5m seed round led by Insurtech Gateway and AV8 Ventures. Oxford Capital, Portfolio Ventures and impactful angel investors including former CEO of AXA, Chief Transformation Officer Aegon Group, former Chairman of NHS England and a leading Fintech angel also participated in the round.
Bluezone is set to launch its first Type 2 Diabetes life insurance product. Bluezone is going to improve the health of millions of lives, by understanding adverse health event risks and delivering proactive healthcare. This product is launching at a critical time. The prevalence of chronic health conditions is skyrocketing with 1 in 2 people suffering from a condition globally. Traditional underwriting processes are outdated, manual and cumbersome making it difficult for individuals with these chronic conditions to access affordable insurance.
The London-based start-up plans to use the investment to expand the team and launch its first product: Type 2 Diabetes life insurance. The team of Doctors and PhD qualified scientists have taken a first-principles approach to developing a powerful medical underwriting risk engine using sophisticated AI/ML techniques and large medical datasets. This core technology will offer customers a fair and precise premium, tailored to their unique risk score. Customers will be able to purchase a policy through a seamless digital journey that will deliver a 10-fold improvement on the current sign-up process, by removing lengthy form filling and required medical appointments needed to secure a similar policy.
Dr Karan Mehta, Co-Founder & CEO, Bluezone Insurance, commented, “Insurtech Gateway and AV8 Ventures are the ideal partners for Bluezone Insurance; their deep industry expertise, insurance network and track record of de-risking early-stage insurtech businesses from regulatory approvals and insurance capacity clearly differentiates them from other seed stage funds. Collaborating with them will accelerate our process of launching a product into the market and achieving the milestones required for the next investment round. During our fundraising journey, they provided us with ample support, progressed quickly and made introductions to impactful angels and excellent co-investors.”
Stephen Brittain, Co-Founder, Insurtech Gateway, added “We look forward to helping Bluezone launch its fairer solution for those managing chronic health conditions. Their team has built a next generation pricing model and AI platform based on deep medical insights. We are excited to work together to make it accessible to those in need.”
Amir Kabir, Partner, AV8 Ventures, added “Investing in Bluezone is investing in the next generation of life insurance for people with chronic health conditions. Bluezones’ sophisticated approach to underwriting and pricing is transforming traditional offerings while creating unique value and opportunities, and we are thrilled to be in concert with a team who understands the importance of versatility and personalisation within this space.”