Insurtech 2.0 company Fairmatic has launched a unique offering that pioneers an unconventional approach to fleet insurance. The product will be focused on enabling savings for safer fleets and improving road safety for all.
Fairmatic is led by an all-star team including former Allstate President Jamie Trish, as its President of Insurance, and Jonathan Matus, former Android and Facebook mobile executive, as its CEO.
Fairmatic also announced a $42 million Series A funding round led by Foundation Capital.
“Fairmatic is introducing an impact-driven alternative to antiquated commercial auto insurance models: one that rewards safety and gives fleets fairness and control over costs,” said Jonathan Matus, founder and CEO. “Having spent years working on making smartphone technology ubiquitous, I was troubled by its impact on road safety. Fairmatic’s inception is the manifestation of our focus to transform Commercial Auto insurance into a force for good.”
“Historically, commercial auto insurance has been a losing battle for both insurers and insureds, suffering massive losses and inflated premiums,” said Jamie Trish, President of Insurance. “Fairmatic is flipping the script by redefining a win-win-win sweet spot where safer fleets get rewarded with savings. Our unique ability to deliver fair and transparent pricing, combined with our proven profitable growth model puts Fairmatic at the apex of Insurtech 2.0.”
Fairmatic set out to approach risk and underwriting in an unconventional way by harnessing data and AI to introduce a more personalized insurance option. While in stealth mode, Fairmatic tested its predictive risk model with tens of thousands of paying drivers and has achieved best-in-class underwriting results.
Fairmatic’s AI-powered risk and pricing models have been trained with nearly 200 billion miles of driving data and tested over five years of operations, demonstrating a proven way to help fleets proactively manage and improve safety issues. A simple behavioral shift can result in meaningful cost savings, ultimately leading to a more sustainable fleet business with safer drivers, more competitive insurance pricing and lower attrition rates.
SERIES A SUCCESS
“Raising such a substantial Series A in the current economic climate is testament to the opportunity Fairmatic has and to its proven track record while in stealth mode, which we only expect to continue on an exponential trajectory,” said Foundation Capital’s Charles Moldow, who also joins the Fairmatic board. “With a total addressable market of $160 billion, the commercial insurance category is ripe for a refresh. Fairmatic offers new ways for fleets to derive the same technology-based cost savings and benefits that consumers have enjoyed for years.”
Alongside Trish and Matus, Fairmatic’s all-star C-suite also includes Ed Ford, former Chief Actuary of Progressive Insurance, and Brian Specht who led partnership growth at cybersecurity insurtech unicorn Coalition. The Fairmatic team leverages the best of both technology and insurance to improve the entire insurance value chain from risk selection, underwriting and distribution, all the way to risk mitigation and claims.