Cowbell Cyber, an insurance tech startup that develops an AI-based platform for managing risks, has reportedly announced a big round of funding with an aim to tackle increasing cybercrime.

The company, which is dedicated to cyber security and offers cyber insurance to small-medium enterprises (SMEs), has closed a Series B funding of $100 million, which will be used to further invest in data science and risk engineering along with claims management, underwriting tech, its reinsurance business Cowbell Re and enlarging its go-to-market channels.

Cowbell Cyber is based out of Pleasanton and is active so far in the US market and is not revealing its valuation, nor how many customers it has today, as well as what its returns look like at the moment.

As per sources, Jack Kudale, the founder and CEO, Cowbell Cyber, has said that its policyholder base may grow three times in the coming 12 months to 35,000 to 40,000 customers, and that the premium run rate of the firm has grown 40 times this year to $200 million, in what is yet an up-and-coming market, with around 10% of small businesses in the country taking out cyber insurance policies currently.

The firm believes that the first wave of cyber insurance growth was high but inhibited, but it considers that broader themes in the market have changed the game for both potential customers and companies like Cowbell Cyber.

According to Mr. Kudale, the level of cyber threat has progressed dramatically, especially since the Russian invasion of Ukraine which has been extended by a great deal.

Cowbell estimates that cyber insurance in the U.S. will total around $100 billion by 2030, figures that will cover both SMBs and large enterprises which is one of the reasons why investors are interested.

Source Credit - https://techcrunch.com/2022/03/15/cowbell-raises-100m-to-build-out-its-ai-based-cyber-insurance-platform-for-smbs/