Otherwise, a French startup specializing in collaborative insurance, has raised €1.6 million. The investment comes from 360 Capital Partners, Bpifrance and private investors, and will be used to accelerate the startup's development.
Otherwise offers collaborative insurance that pays the policyholder in the event of a disaster - and pays them back when everything goes well. The French startup seeks to challenge the traditional insurance market by allowing the insured to recover up to 50 percent of their contributions if they haven't made a claim.
The startup allows each new policyholder to join a group of ten people that are selected through machine learning algorithms to match them to the product that best corresponds to their needs. Together, the policyholders set up their own protection fund, creating a common pot to finance their health expenses, while also benefiting from traditional insurance coverage to complement the collaborative scheme.
"This fundraising and the expertise of our new shareholders will enable us to accelerate the deployment of our services and strengthen our lead in the market," said Raphaël Berger, co-founder and President of Otherwise, as reported by Maddyness. "This vote of confidence reinforces our convictions and our determination to carry out a resolutely ambitious project in order to allow everyone to be insured better by insuring with Otherwise. "
Read more: Maddyness (French)