Floodbase, a specialist in parametric flood danger, has raised $5 million in funding funding, in a spherical led by Ecosystem Integrity Fund (EIF) with participation from Pulse Fund, with the corporate planning to make use of the funds to speed up the event of its flood insurance coverage packages.
Led by its CEO, Bessie Schwarz, Floodbase is a parametric platform that’s used for insuring uncovered flood danger.
Floods are among the many commonest and pervasive pure disasters, but 83% of worldwide financial flood loss over the previous decade was uninsured, Floodbase highlights.
Trying again at Hurricane Helene from final yr, the occasion alone brought on an estimated $75 billion in financial injury, primarily as a consequence of flooding.
Season after season, companies and native governments face fixed monetary uncertainty, in addition to in depth prices from flood damages, misplaced income, and restoration bills.
With flood depth and frequency anticipated to rise, addressing uninsured dangers and securing speedy entry to funds throughout floods is essential, Floodbase notes.
Bessie Schwarz, Co-founder and CEO of Floodbase, commented: “Flood insurance coverage has usually been restricted to direct property injury, which solely represents a fraction of the general financial loss.
“We’re enabling a monetary security internet that may cowl any financial loss related to a flood occasion. Not solely does this take away uncertainties round what’s coated, the quick and versatile liquidity is a sport changer for these managing the aftermath.”
Schwarz added: “With the rising demand for brand new flood insurance coverage packages, we’re thrilled to companion with EIF to speed up our development. We’ve recognized EIF for a very long time and are excited to formalize our partnership. With their help, we’ll proceed to guide and empower the market to shut the worldwide flood safety hole.”
Sasha Brown, Companion at Ecosystem Integrity Fund, stated: “New options are urgently wanted to adapt to an more and more unstable local weather. The frequency and severity of floods is rising, including to the already super international flood safety hole. Floodbase can energy a brand new class of flood insurance coverage merchandise and has turn into the popular platform for its insurance coverage companions. We’re thrilled to be partnering with the corporate to assist speed up the expansion of their vital resiliency providing.”
Pulse Fund Founder and Managing Companion, Tenzin Seldon, added: “By funding adaptation tasks and leading edge local weather tech firms like Floodbase, Pulse Fund goals to bolster resilience and improve the financial safety of communities. Floodbase’s platform allows a a lot wanted, new class of flood insurance coverage merchandise at a time when historic flood occasions, and the monetary devastation they trigger, have gotten the norm.”
Floodbase, which was co-founded by Schwarz and Dr. Beth Tellman, beforehand raised $12 million in a Collection A funding spherical in early 2023.
In accordance with Floodbase, since its Collection A spherical in 2023, the corporate has turn into the popular companion for quite a lot of totally different of re/insurers, together with Swiss Re Company Options, Liberty Mutual Re, and AXA Local weather.
Floodbase has now raised $17 million in enterprise capital, which incorporates investments from Collaborative Fund, Floating Level, Decrease Carbon Capital, and Vidavo Ventures.
