OneDegree closes US$55m Series B funding to expand insurtech offerings

OneDegree Group has closed a US$55 million Series B round of financing, on the back of strong revenue growth across all business units and innovations in digital assets insurance and generative AI-enabled insurtech solutions. Gobi Partners and existing investors SHK&Co. and Bitrock participated in this round of funding. 

The new funding will be used to expand OneDegree Group’s digital assets insurance business and insurtech offerings globally, as well as to broaden the product offering and deepen the market penetration of its direct-to-consumer insurance products.

The continued investment in OneDegree Group underscores Gobi Partners' confidence in OneDegree's robust team, sustainable operations, and relentless innovation, according to Thomas G. Tsao, co-founder of Gobi Partners. "Their expanding presence across Asian markets and beyond signifies the vast potential of their pioneering insurance solutions, promising a bright, global future," he added.

In fact, OneDegree Group has delivered solid revenue growth in the past two years, with monthly revenue rising by four times, led by strong organic growth of direct-to-consumer products, from pet, fire and home to medical insurance, according to the release. At the same time, the portfolio’s loss ratio improved significantly by around 40%, attributable to data analytics capability that drives precision pricing and fraud detection. 

Since its full launch in April 2022, OneDegree Group has been leveraging digital assets insurance and generative AI-enabled insurtech solutions in its business units. Within the past 14 months, OneInfinity, OneDegree’s digital assets insurance business, has been assessing risks of virtual asset service providers’ operations across wallet theft, cybersecurity hacks, fraud, third-party crime and corporate liability.

Furthermore, OneDegree Group has continued to develop and upgrade its market-leading technology, which is productised into IXT insurtech and Cymetrics cybersecurity SaaS solutions, with a client base ranging from traditional insurers and intermediaries to new digital insurers across Asia. OneDegree Global, OneDegree Group’s technology subsidiary, has recently joined forces with Microsoft to integrate Azure OpenAI into its IXT Seeble and Cymetrics Copilot solutions. These generative AI-enabled solutions aim to process and enhance customer interaction and cybersecurity management.

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“We have successfully achieved product market fit, which is testament to the team’s relentless focus on delivering customer-centric products. We have also demonstrated the scalability of our technology-driven business model, as reflected in our operational and financial metrics,” said Alvin Kwock, co-founder and CEO of OneDegree Group. “It is a real seal of approval to receive such strong backing from the market during this challenging fundraising environment. We’re delighted to welcome new investors and strategic partners in this latest closing, alongside our three largest existing institutional investors who also participated.”

MARKETING-INTERACTIVE has reached out to OneDegree for more information.

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