hyperexponential, the global leader in pricing decision intelligence (PDI) software, has successfully raised $73 million in a Series B funding round to expand its mission-critical insurance pricing platform. The funding round was led by Battery Ventures, a global technology-focused investment firm, with participation from prominent Silicon Valley investor a16z and existing Series A investor Highland Europe.
hyperexponential specializes in providing pricing decision intelligence software to insurance and reinsurance companies in the multi-trillion-dollar global property-casualty insurance industry. As the industry faces increasing risks due to factors such as climate change, geopolitical unrest, and cyberterrorism, there is a growing need for next-generation risk pricing methods. hyperexponential’s platform, hx Renew, enables insurers to leverage large datasets, develop rating tools quickly, and utilize machine learning techniques to make data-driven pricing decisions at both the portfolio and individual level.
Since its Series A funding round in 2021, hyperexponential has experienced remarkable growth. Its sales have grown tenfold while remaining profitable, serving some of the world’s largest insurers such as Aviva, HDI, and Conduit Re. With the completion of the Series B funding round, hyperexponential plans to expand its operations into the United States by opening an office in New York this year. Additionally, the company will invest in new product capabilities to meet the growing demand in adjacent insurance markets, including the SME insurance sector. The company aims to double its global team, increasing it to over 200 employees within the next year.
Battery Ventures Partner Marcus Ryu, Co-founder, Chairman, and former CEO of Guidewire Software, will join hyperexponential’s board as a director following the Series B investment. Additionally, a16z General Partner Angela Strange will also join the board. Both individuals bring a wealth of experience and expertise in the insurance and technology sectors.
hyperexponential’s PDI platform, hx Renew, has received accolades and recognition in the industry. In 2023, it was named ‘Insurtech Product of the Year’ by Insurance Insiders. The platform has enabled customers like Convex and Conduit Re to enhance their competitive edge, improve risk transfer efficiency, and avoid aggregate losses. Aviva’s Global Commercial and Specialty team, for example, was able to build 20 models within nine months, unlocking machine learning capabilities and significantly improving the speed and accuracy of their pricing and underwriting decisions.
hyperexponential CEO and Co-founder, Amrit Santhirasenan, expressed excitement about the new funding and the company’s future expansion plans. He emphasized that hyperexponential aims to provide a capital-efficient and sustainable business that meets the evolving needs of the insurance industry. Santhirasenan believes the Series B investment will bring new expertise to hyperexponential to drive growth in new verticals and geographies.
Marcus Ryu, Battery Ventures Partner, praised hyperexponential as one of the most promising new entrants in the insurtech space. He commended the company’s founders’ deep understanding of risk pricing requirements and their ability to develop an indispensable tool for the insurance industry in an ever-changing world.
Angela Strange, General Partner at a16z, highlighted the significance of pricing risk and the limitations it poses for insurers. She praised hyperexponential for creating a system that allows insurers to dynamically incorporate new data and advanced analytical techniques, ultimately becoming the operating system for pricing risk in the global insurance market.
With its latest funding and continued innovation, hyperexponential is well-positioned to drive further growth, expand into new markets, and solidify its position as a global leader in pricing decision intelligence software for the insurance industry.
About hyperexponential: hyperexponential is the pioneer of pricing decision intelligence platform for insurers. Its hx Renew platform reimagines the flow from data to decision, strengthening the data assets, insights, and decisions of insurers. With customers including Aviva, HDI, and Conduit Re, hyperexponential continues to lead the industry in providing innovative solutions to meet the evolving needs of insurers.
Note: This article was generated using AI language model and has been edited and reviewed by a human editor.
