Chicago Startup Raises Money to Compete in Auto Insurance

Jan. 23, 2019
Chicago startup Clearcover has raised $43 million to expand its auto insurance business in Illinois and other states, betting that its online platform is more efficient and its policies cheaper than competitors.

Jan. 23, 2019—Chicago startup Clearcover has raised $43 million to expand its auto insurance business in Illinois and other states, betting that its online platform is more efficient and its policies cheaper than established companies, according to the Chicago Tribune.

The trick is in the technology. For instance, three-fifths of claims are handled digitally, which cuts costs, and most policies are sold online, reducing overhead, a Clearcover official said in the report.

While other insurance startups are also expanding like Columbus, Ohio-based Root Insurance that raised $100 million last summer, State Farm and Allstate accounted for more than one-quarter of the private passenger auto insurance market in 2017. 

Sponsored Recommendations

Best Body Shop and the 360-Degree-Concept

Spanesi ‘360-Degree-Concept’ Enables Kansas Body Shop to Complete High-Quality Repairs

How Fender Bender Operator of the Year, Morrow Collision Center, Achieves Their Spot-On Measurements

Learn how Fender Bender Operator of the Year, Morrison Collision Center, equipped their new collision facility with “sleek and modern” equipment and tools from Spanesi Americas...

ADAS Applications: What They Are & What They Do

Learn how ADAS utilizes sensors such as radar, sonar, lidar and cameras to perceive the world around the vehicle, and either provide critical information to the driver or take...

Coach Works implements the Spanesi Touch system

Coach Works Uses Spanesi Equipment to Ensure a Safe and Proper Repair for Customers