Cox Invests in Auto Insurer Clearcover
Cox Enterprises has made an investment in Clearcover — a car insurance company with a non-traditional, technology-driven business model — as part of our long-term strategy to support innovation and explore new digital platforms.
Clearcover launched about a year ago in California, and their technology-driven approach enables them to provide high-quality, affordable car insurance to thousands of drivers. The company saves money by bypassing traditional auto insurance company marketing tactics, like blanket advertisements and local agent offices. Instead, they use advanced technology to target customers online at times when they’re more likely to be thinking about insurance.
Need an Example?
If you were shopping for a 2018 Ford Explorer on an online car-buying website that partners with Clearcover, you might also be shown a quote about what Clearcover would charge to insure that vehicle. You could then click on the promotion to easily initiate their application process with the vehicle information already populated in their forms.
Ready for Expansion
This $43 million investment from Cox and several other investor partners will allow Clearcover to hire more than 50 new employees, enhance its technology platform, expand into about a half-dozen other states — including Illinois and Georgia in 2019 — and add new business partners.
“It’s gratifying to see our customer-focused, technology-driven business model resonating with the market, and we’re excited to partner with Cox Enterprises on our mission to provide millions of drivers across the U.S. with better insurance experiences and lower prices,” said Kyle Nakatsuji, CEO of Clearcover.
Clearcover is currently working with a variety of business partners across the automotive, insurance and financial services industry to promote their product to their customers, including The Zebra, Chime Bank and Cover.
“Cox Enterprises is proud to take a leading role in accelerating and supporting innovation within the car insurance industry. With the rise of new digital platforms, drivers can now find better, non-traditional insurance options and Clearcover is positioned to make a huge impact in a $231 billion market,” said Spencer Boice, senior director of Strategy and Corporate Development at Cox Enterprises. “Clearcover shares our vision of using data and technology to drive smarter connections and more convenience online.”
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