Root, an end-to-end digital insurance platform has announced expansion plans as South Africa-based Invenfin, the venture and growth capital arm of Remgro Limited, has made a further investment of $1.5m in the company.
Root, which was founded in 2016 in South Africa, offers a low-code platform that powers modern digital insurance products designed for direct, affinity and embedded distribution at scale.
The company first raised an external round of funding from investors including Invenfin in 2021. The most recent investment will allow Root to accelerate its plans to expand in the UK and Europe.
Louw Hopley, Co-Founder at Root, commented: “We want to continue to expand in the UK while also making strides into the rest of Europe, and this growth capital from Invenfin enables us to do just that.
“The time is right for us, as lots of insurers are realising that innovative partner insurance channels such as embedded insurance are essential, and they want to invest in the robust, API-first technology they need to get to market quickly and confidently. We’re excited about what is to come over the next few years for our business.”
Theo van den Berg, Investment Executive at Invenfin, said: “Root is a great example of the type of company that Invenfin looks to invest in: a strong team building a world-beating product that’s winning in its South African home market and has clear potential globally.
“We believe in Root’s vision that the future of insurance is embedded, enabling companies to provide much more accessible, contextual and affordable insurance to consumers. We’re excited to back Root again following our first investment in 2021, as it accelerates its growth in the UK and beyond.”
