Accelerating the AI technology shift in insurance – Announcing our investment in Reserv
Outpost Ventures
Investing in financial technology companies and the software that powers them
The insurance industry has seen a later blossoming than many other financial services industries to the potential that technology can bring across its multitudes of offerings. Insurance is a complex industry with many elements to coordinate, but with over $1.6 trillion of direct premiums written in the US insurance industry every year it is a market with enormous potential.
One of the key inefficiencies in the current insurance market is the large time and cost it takes to administrate claims for processing. Such is the expertise, knowledge and tools required to process claims at this scale, many insurance companies utilize third-party administrators (TPAs) instead of setting up their own claims management teams. However, many of the existing TPAs utilize decades old technology typically resulting in slow, expensive claims handling and negative customer experiences – ultimately negatively impacting the bottom-line of the insurance companies.
This is why we’re excited to invest in Reserv’s $20M Series A, alongside co-leads Altai Ventures and Bain Capital Ventures as it accelerates its implementation of generative AI-enabled claims analysis tools.
Reserv is a digital-native TPA implementing next-generation automation technology and AI into the end-to-end process of claims administration. Reserv works directly with MGAs and carriers who leverage the data benefits of Reserv’s technology for active and historical claims handling needs as well as utilizing the Reserv platform directly to analyze these open and historical claim files.
Reserv’s early deployment has already enabled customers to see a sustained reduction in cycle times for property and auto claims of over 2.5x. The company has grown ARR over 50x in the past year and is the leader in implementing LLM trained generative AI tools in automation workflows for insurance. This next phase of growth in Reserv’s journey is focused on bringing these benefits to more customers and further expanding the scope of claims managed.
About the Reserv Team
We’re thrilled to partner with the excellent team that Reserv have brought together. CEO, CJ Przybyl is the former co-founder and CSO at Snapsheet, a leading claims insurtech for virtual appraisal and claims management Saas. COO, Martha Dreiling brings deep insurance expertise as the former SVP of Operations at Rhino and VP of Analytics at Atune, an insurtech data company. Their team also includes Head of Claims, Donna Bionidch an experience claims professional who has led claims operations for several P&C Carries and MGAs.
About Outpost Ventures
Outpost Ventures, an investment platform of Neuberger Berman, invests in early stage fintech and b2b software companies. We provide collaborative capital, support and expertise to founders rooted in our teams deep operating and investing experience. We continue to actively invest and partner with exceptional teams. Find out more about Outpost Ventures at https://outpostventures.vc