Specialty insurance and reinsurance company, Convex Group Limited, has made a “strategic investment” and acquired a 7.7% share in Quotech, an underwriter-led insurtech.
Quotech has raised one million pounds from a number of angel investors and Convex, who has become the lead investor.
Proceeds from the funding round will be used to increase Quotech’s staff levels and provide additional resources to support the creation of custom-built technology platforms for underwriters and distributors in the global commercial and wholesale insurance sector.
Convex Group CEO, Paul Brand, said: “We were drawn to Quotech as a supplier because they understand what we, as a London-market underwriter, need technology to do for us. We’ve made a strategic investment in the company because we believe Quotech is on the path to success.
“There are plenty of insurtech investments out there, but very few tech companies provide the kind of truly useful systems that Quotech has built for us.”
Quotech Chief Executive and former Lloyd’s underwriter, Guillaume Bonnissent, said: “This funding will enable Quotech to move to the next level of success by increasing our reach and extending our capacity, allowing us to provide a larger number of underwriting and broking firms with truly useful technology.
“We’ve already expanded our team of systems experts, and we will soon be adding additional personnel and resources to serve more clients.”
Some of the Quotech clients include major risk carriers, brokers, and MGAs active in the London and international re/insurance markets.
Bonnissent added: “I gave up underwriting and returned to programming because I was frustrated by the low levels of utility delivered by the systems that had been built for the London-market companies I had worked for.
“Every platform we create at Quotech is designed to improve efficiency by eliminating those frustrations. Early investments in Quotech came from people who believed in me. This round is even more satisfying, because Convex and many of the angels who’ve backed the round believe in the technology.”