InsurTech Root raises $1.5m to accelerate expansion plans

By Delisha Fernandes

Root Platform (Root), the low-code, API-first, end-to-end insurance technology platform provider, has announced that South Africa-based Invenfin, the venture and growth capital arm of Remgro Limited, has made a further investment of $1.5 million in the company.

Louw Hopley, Co-Founder at Root, said,  “We have built a trusted partnership with Invenfin since they invested in our business two years ago, and I’m delighted that they see further potential in our growth strategy and want to continue to invest in our future as we scale up internationally. The time is right for us, as lots of insurers are realising that innovative partner insurance channels such as embedded insurance are essential, and they want to invest in the robust, API-first technology they need to get to market quickly and confidently.”

Root, which was founded in 2016 in South Africa, offers a low-code platform that powers modern digital insurance products designed for direct, affinity and embedded distribution at scale. The company first raised an external round of funding from investors including Invenfin in 2021, and will now accelerate its plans to expand in the UK and Europe thanks to this further investment. Investment figures in the previous round are undisclosed.

Theo van den Berg, Investment Executive at Invenfin, said, “Root is a great example of the type of company that Invenfin looks to invest in: a strong team building a world-beating product that’s winning in its South African home market and has clear potential globally. We believe in Root’s vision that the future of insurance is embedded, enabling companies to provide much more accessible, contextual and affordable insurance to consumers. We’re excited to back Root again following our first investment in 2021, as it accelerates its growth in the UK and beyond.”