InsurTech startup Jetty raises $25 mn in Series B funding

Insurtech startup, Jetty, which insurance and guarantor services to renters in the US, has recently closed a Series B funding round led by Keith Rabois …

Mike Rudoy- CEO& Co-Founder, Jetty

Insurtech startup, Jetty, which insurance and guarantor services to renters in the US, has recently closed a Series B funding round led by Keith Rabois of Khosla Ventures and amounting to $25 million. Existing investors, including Valar Ventures and Ribbit Capital, will also join the round. The investment brings the Company’s total funding to more than $40 million.

This recent funding will be used by Jetty to expand its real estate distribution footprint, leveraging its property management partners as its primary channel to provide a better resident experience.

“As growing metropolitan areas struggle to build enough housing supply, no financial services have helped mitigate the impact to consumers,” said Keith Rabois, Managing Director at Khosla Ventures. “Jetty is focused on improving the lease-signing experience by providing a suite of financial services from a security deposit replacement product to a renters insurance product, for both renters and their property managers. By providing value to both sides, they’ve been able to create partnerships with the largest property managers across the U.S.”

“The process of signing a lease is full of barriers: It’s time-consuming and can be prohibitively expensive for everyday renters to access their desired home,” said Mike Rudoy, CEO and co-founder of Jetty. “Jetty is challenging the status-quo by empowering the everyday renter with tools to lower move-in costs, while simultaneously giving property managers a way to streamline operations and mitigate risk. It’s truly a model where everyone wins.”

Established in 2017 and headquartered in New York, Jetty empowers renters with financial access to rental homesacross the nation. Its three products work alone or together to lower the barrier to entry for everyday renters with a tech-focused, design-centric product.

Founded in 2004 by Vinod Khosla, Khosla Ventures provides venture assistance and strategic advice to entrepreneurs working on breakthrough technologies. With over five billion dollars under management, the firm focuses on a range of areas including consumer, enterprise, education, advertising, financial services, semiconductors, health, big data, agriculture/food, sustainable energy and robotics.

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Jetty raises $25m in funding to secure more renters

The company’s existing investors, including Valar Ventures and Ribbit Capital, also joined in the funding round led by Keith Rabois of Khosla Ventures …

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Jetty, an insurance startup that focuses on renters, has announced the raising of $25 million in a Series B funding to expand its business while lowering move-in costs for renters.

“The process of signing a lease is full of barriers: It’s time consuming and can be prohibitively expensive for everyday renters to access their desired home,” Jetty’s CEO and co-founder Mike Rudoy said.

Founded in 2017, the company offers three flagship insurance products, each of which are made to save property managers and renters money and give them piece of mind. Jetty also teams up with landlords and property managers to provide renters insurance directly from the property.

So instead of forking over a full security deposit, renters can pay a fee of 17.5% of the deposit amount. Jetty then steps in to insure and guarantee the full deposit amount for the landlord.

“Jetty is challenging the status quo by empowering the everyday renter with tools to lower move-in costs, while simultaneously giving property managers a way to streamline operations and mitigate risk. It’s truly a model where everyone wins,” Rudoy said.

Jetty also partnered with management partners such as LivCor, Beam Living, Griffis, Lynd, Rose Associates, and others to manage more than 500,000 rental units all over country.

The company’s existing investors, including Valar Ventures and Ribbit Capital, also joined in the funding round led by Keith Rabois of Khosla Ventures.

“Jetty is focused on improving the lease-signing experience by providing a suite of financial services from a security deposit replacement product to a renters insurance product, for both renters and their property managers,” Rabois said. “By providing value to both sides, they’ve been able to create partnerships with the largest property managers across the US.”

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US insurtech Jetty lands $25m funding

New York-based insurance start-up Jetty has raised $25 million in a Series B funding round led by Keith Rabois of Khosla Ventures. “Challenging the …

New York-based insurance start-up Jetty has raised $25 million in a Series B funding round led by Keith Rabois of Khosla Ventures.

"Challenging the status quo"

“Challenging the status quo”

Rabois (MD) will join the company’s board of directors. Existing investors, including Valar Ventures and Ribbit Capital, alsoed join the round. The investment brings the firm’s total funding to more than $40 million.

The new investment will be used to expand its real estate distribution “footprint”, using its property management partners as its primary channel.

“As growing metropolitan areas struggle to build enough housing supply, no financial services have helped mitigate the impact to consumers,” says Rabois. “Jetty is focused on improving the lease-signing experience by providing a suite of financial services from a security deposit replacement product to a renters insurance product, for both renters and their property managers.”

Jetty’s property management partners include LivCor, Beam Living, Griffis, LeFrak, Lynd, and Rose Associates – together spanning more than 500,000 rental units across the US.

For example, according to Jetty, through these partnerships, its members save on move-in costs with its security deposit replacement product.

Mike Rudoy, CEO and co-founder of Jetty, explains that the start-up is “challenging the status quo by empowering the everyday renter with tools to lower move-in costs, while simultaneously giving property managers a way to streamline operations and mitigate risk”.

Jetty was founded by Rudoy and Luke Cohler – and launched to market in 2017.

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Peter Thiel-backed startup Jetty just raised $25 million in one of the hottest areas of fintech

Last year, US based insurtech companies raised $2 billion, a record year, according to Pitchbook. 2019 is starting off equally hot. On Wednesday, Jetty …

It’s a never been a hotter time to be an insurtech compay.

Last year, US based insurtech companies raised $2 billion, a record year, according to Pitchbook.

2019 is starting off equally hot. On Wednesday, Jetty, which offers insurance and guarantor services to renters, said it had raised $25 million in its Series B round led by Khosla Ventures. Kholsa partner Keith Rabois, a co-founder of Paypal and an early employee of LinkedIn, is also joining Jetty’s board.

Founded in 2015, Jetty has raised a total of $40.5 million over three rounds from investors like Peter Thiel’s Valar Ventures and Ribbit Capital.

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The New York-based company plans to use the new cash to establish more partnerships with real estate institutions and upgrade its tech infrastructure, according to Jetty’s co-founder and president Luke Cohler.

“That is obviously a significant amount of money that will allow us to continue growing the business, continue investing in the relationships that we’re developing with the institutional real estate ecosystem and really go out and lock up more and more of the biggest real estate companies in the country, many of whom we have already signed in the partnership,” said Cohler in an interview.

Jetty offers insurance that protect renters against a suite of problems from bedbug infestations to electronic damages. It also offers deposit insurance and lease guarantor services. It’s competing against fledgling insurtech startups like Lemonade, as well as insurance giants like State Farm and Geico. But the company distinguishes itself for its offering of products that specifically focus on renters, Cohler said.

“Companies like Geico don’t think about the renters in the same way that we do,” he said. “They are focusing on their core product, that is auto insurance. So when we think about the incumbents, no one is paying attention to the renters as a core customer who has unique needs and unique problems to be solved. ”

Read more: An exec at $771 billion life insurance giant MassMutual explains how it’s teaming up with digital upstarts to disrupt itself

Jetty said its premium sales in real estate insurance have grown by 10 times year over year, but declined to provide figures. A report by the Wall Street Journal said the company’s annual premium run rate is under $30 million, citing a source familiar with the situation.

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US Insurtech Jetty Secures $25 Million Through Series B Funding Round Led By Khosla Ventures

Jetty, a U.S.-based insurtech startup, announced on Wednesday it secured $25 million through its Series B funding round led by Keith Rabois of …

Jetty, a U.S.-based insurtech startup, announced on Wednesday it secured $25 million through its Series B funding round led by Keith Rabois of Khosla Ventures with participation from Valar Ventures and Ribbit Capital.

Founded by Mike Rudoy and Luke Cohler, Jetty states it offers insurance that is designed to help consumers get the protection they actually need at a price they can afford. Its mission is to protect its members from setbacks of all kinds, which includes fire and theft.

Jetty Renters Insurance, our core offering for consumers, can be customized for all kinds of scenarios—from nightmares like fire and theft to shattered phones, broken laptops, and even bedbugs. We also offer two additional innovative services: Jetty Deposit and Jetty Lease Guaranty. Together, they eliminate the need for renters to have a guarantor or pay a security deposit when signing a lease. This not only saves renters time and money, but it helps landlords drive occupancy, streamline operations, and manage risk.”

Jetty reported its property management partners include LivCor, Beam Living, Griffis, LeFrak, Lynd, and Rose Associates, among others—together spanning more than 500,000 rental units nationwide. The company noted that through these partnerships its members have saved an average of $1,350 on move-in costs with Jetty’s security deposit replacement product, Jetty Deposit. In addition, renters can have protection through Jetty Renters Insurance, and they have the option to use Jetty as an institutional guarantor with Jetty Lease Guaranty.

Speaking about the investment, Rabois, who is Managing Director at Khosla Ventures, stated:

“As growing metropolitan areas struggle to build enough housing supply, no financial services have helped mitigate the impact to consumers. Jetty is focused on improving the lease-signing experience by providing a suite of financial services from a security deposit replacement product to a renters insurance product, for both renters and their property managers. By providing value to both sides, they’ve been able to create partnerships with the largest property managers across the U.S.”

Rudoy, CEO and co-founder of Jetty, went on to add:

“The process of signing a lease is full of barriers: It’s time consuming and can be prohibitively expensive for everyday renters to access their desired home. Jetty is challenging the status-quo by empowering the everyday renter with tools to lower move-in costs, while simultaneously giving property managers a way to streamline operations and mitigate risk. It’s truly a model where everyone wins.”

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