The venture capital arm of Munich Re Group is backing a $10 million Series A funding round for travel insurance start-up Faye.
Munich Re Ventures led the round along with investors Viola Ventures and F2 Venture Capital. Additional investors include Menora Tech and Mike Nelsonformer CEO of Global Travel Insurance at Allianz.
This news follows shortly after Faye announced the launch of its Travel Advisor Portal, a one-stop-shop where travel advisors and agencies can offer, learn about and manage travel insurance with Faye.
In addition, the travel insurance startup recently released a newly developed API to enable seamless integration with travel distributors who want to offer a new level of travel protection to their customers. customers, which are fully integrated into their offerings.
Faye Co-Founder and CEO, Elad Schaffer, recipient: “Faye sees travel insurance differently. Until Faye, travel insurance was always thought of as a payment service. Faye’s approach combines travel insurance with real-time assistance, alerts on trip, a 24/7 concierge and even financial support. Our role is to help ensure that you have a smooth adventure that is memorable for the right reasons. We have created an offer that travelers want to be used for a lifetime, so carrying Faye is as obvious as carrying your passport. This approach works: we continue to see a rapid increase in travelers using Faye, and returning for many months – every month.
Sidra Ahmed, Investment Director, Munich Re Ventures, commented: “With the end consumer in mind, Faye provides transparent, digitally-integrated comprehensive coverage, and a real-time approach to managing the many potential hiccups that happen in one trip,” said Ahmed who joined Faye’s board of directors. “Faye has successfully married the worlds of travel, insurtech and fintech to seamlessly enable consumers to protect their travel investments. We are excited to join the Faye team on their journey (pun intended).”
Mike Nelson, former CEO, Global Travel Insurance at Allianz, added: “Travel insurance is a fast-growing industry with evolving needs in the areas of customer experience, product relevance and digital innovation. The Faye team impressed me with their vision and achievements and has already attracted great interest from partners and travel distributors, just one year on the market, and amidst economic uncertainty; that is not an easy task. It was a no-brainer to deepen my support for this top-notch team and product, from advisor to two advisors. and investor.”
Elsewhere, Faye explained that it expects to triple its revenue in 2023 alone, earning millions in premiums in its first year on the market. The company also said it plans to more than double its team of travel advisors and distribution partners that already number in the hundreds.
Faye is the second startup founded by serial entrepreneurs and travel enthusiasts Elad Schaffer (CEO) and Daniel Green (CTO). In the coming months, the duo plans to dedicate this capital injection to fuel development, create new insurance offerings, support scale through automation and seamless integrations, and create a new partnerships with leading brands and distribution partners.