German fintech Xaver unveiled its B2B AI platform for life insurance and private pensions today and announced it has secured €5 million in Pre-Seed funding.
Xaver enables banks, insurers, and brokers to increase operational and sales efficiency by up to 65 per cent by leveraging AI and a new era of private pension products to help close Europe's pension gap.
With the insufficiency of statutory pensions, 39 per cent of Europeans lack any form of supplementary retirement savings.
As a result, one in five Europeans isn't saving sufficiently for retirement, putting over 40 million working Europeans at risk of old-age poverty. The ageing population exacerbates this problem.
Xaver aims to overcome current challenges and inconveniences associated with life insurance and pension savings through user-first solutions. It offers a platform containing AI-enabled financial advisory and sales technology for efficient and improved advisory, sales, and white-labelled private pension products, such as the new Pan-European Pension Product (PEPP).
Xaver integrates personalised digital funnels and AI-driven agent interactions into banks', insurers', and insurance brokers' advisory and sales processes.
The digital funnel aggregates and analyses customer data to tailor the subsequent in-person consultation, ensuring that each interaction is personalised, convenient, and efficient. Xaver assists both customers and sales agents. Nova, the platform's proprietary AI, trains for financial services use cases and compliance.
It streamlines processes, takes over administrative tasks, makes suggestions and secures regulatory compliance, allowing agents to focus on efficient customer interaction with excellent customer experience in life insurance and pension sales.
The company is also preparing to launch a white-labeled Pan-European Pension Product (PEPP) to broaden its partners' product offerings. This provides Xaver's partners low-cost pension products, enabling them to pioneer a novel and customer-centric offering in a competitive market.
According to Max Bachem, Founder and CEO of Xaver:
"Xaver's mission is simple but powerful: Provide people in our society with a financially prosperous future. We believe that pension saving should be accessible, transparent, and cost-efficient for everybody."
Xaver's leadership team has significant experience in financial services, entrepreneurship, and AI and is familiar with building and managing regulated companies.
Max Bachem is the former CEO of digital insurers Luko Insurance and Coya and former Head of Group Corporate Development, Investments, and Strategic Partnerships at AXA Germany.
Ole Breulmann is a serial tech entrepreneur with more than ten years of AI/ML experience who most recently worked as CPO at Hypoport.
Dr Björn Holste was Managing Director at Deutsche Bank and Prime Capital, Executive Director at UBS, and a previous Fintech founder in AI-based portfolio optimisation and quantitative risk evaluation.
The oversubscribed financing round is led by Motive Ventures and Cavalry Ventures.
Other investors include former financial institution executives and renowned business angels including Martin Blessing, Julian Teicke, Felix Ohswald, Elmar Broscheit, Michael Wax, and Mario Götze.
Michael Hock, Partner at Motive Partners, says:
"We have been closely observing the life insurance and pension sector for some time now, recognising its challenges, including complexity, high costs, and inefficiencies.
Xaver aims to revolutionise this landscape. From our initial engagement with Max and Ole early last year, their comprehensive strategy has stood out to us, addressing sales efficiency and financial product innovation.
We are confident that their B2B2C model is an ideal strategy to foster innovation and improve efficiency within the industry."
Lead image: Xaver’s Leadership Team, from left: Max Bachem (CEO), Dr. Björn Holste (CFO), Ole Breulmann (CPTO). Photo: uncredited.
