BlackFin Capital Partners has invested €2 million in the launch of Descartes Underwriting, a new B2B insurtech company based in Paris.
Descartes functions as a Managing General Agency (MGA) and works with brokers to underwrite insurance policies on behalf of first-tier re/insurance and insurance-linked securities (ILS) funds.
The firm designs innovative insurance covers using artificial intelligence and new data sources such as the Internet of Things (IoT), remote sensing technologies and third parties.
The funding from BlackFin will be used to help Descartes invest in technology, increasing the sophistication of its models and algorithms and enabling access to new data.
It will also support Descartes’ growth strategy, which includes the addition of 10 new engineers, data scientists, actuaries and business developers in 2019.
Tanguy Touffut, Chief Executive Officer (CEO) of Descartes, explained that the insurtech was launched with several priorities in mind.
“In today’s digital age, clients call for a fairer price, simplicity and immediate claims payment: all new insurance solutions – for businesses or individuals – should be designed accordingly,” he explained.
Touffut continued: “We need to look at risks with a fresh eye and challenge the status quo: in the insurance sector, small-sized, lean and nimble organizations may deliver superior customer value.”
Finally, the CEO emphasised the importance of building lasting relationships with brokers, insurers, reinsurers and ILS funds.
BlackFin claims to be the largest fintech investment fund in Europe and is backed by re/insurers including Swiss Life, Securex Insurance and MACIF.