New CoverHound funding allows for expansion in the insurance marketplace

The options for consumers interested in purchasing insurance are increasing every day. CoverHound, a platform that allows consumers to compare insurance rates for multiple insurers, just raised $14 million in Series B financing from several investors:

• RRE Ventures
• Blumberg Capital
• Bullpen Capital
• Core Innovation Capital
• Thomas Lehrman
• Tugboat Ventures
• Route 66 Ventures
• American Family Ventures

To date the company has raised over $20 million in venture funding.

Compare rates across 21 carriers

CoverHound, which recently partnered with Google on its Google Compare platform, allows buyers to compare rates for auto, homeowners, renters and motorcycle insurance across 21 carriers. Users have to input information like zip code, age, type of vehicle and number of drivers, the year they obtained their license, education, if they have any accidents or tickets, average mileage in a year, marital status and other details. The program then provides them with multiple coverage options from several insurers in their area within minutes. CoverHound also has a team of licensed insurance agents who can help customers select the best coverage for their needs.

Consumers who have used the platform report an annual savings of $685 according to the company. CoverHound sold $17 million in insurance last year and anticipates selling more than $45 million in 2015. Since its inception the company has sold more than 26,000 policies.

Platform serves expanding consumer needs

The company has partnered with insurers such as Progressive, The Hartford, Mercury, Travelers, 21^st Century and Safeco. The platform meets the needs of today's consumers who want to interact with their insurers online and via technology rather than through more traditional channels.