Pet insurance company Wagmo completes US$12.5 million in Series A financing

Will cooperate with corporate customers in the future

According to TechCrunch, pet insurance company Wagmo recently completed a $12.5 million Series A financing. This round of financing was led by Revolution Ventures, followed by Female Founders Fund, Clocktower Technology Ventures and Vestigo Ventures. Angel investors such as Jeffrey Katzenberg, Jim Grube, Marilyn Hirsch, David Ronick and Michael Akkerman participated.

Wagmo was founded in 2018 by Christie Horvath and Alison Foxworth and is headquartered in New York. The two founders have years of experience in the financial and insurance industries. Most existing pet insurance companies only cover more serious emergencies, such as surgery, fractures, etc. Conventional insurance products and health plans are still relatively scarce. Aiming at the gap in pet daily insurance, Wagmo launched a differentiated pet insurance plan.

Wagmo divides its products into two parts: Wagmo Insurance and Wagmo Wellness. Among them, insurance products (Wagmo Insurance) cover emergency care and unexpected expenses, such as surgery, laboratory tests, prescription drugs, cancer treatment, ambulances, and euthanasia. Wagmo's insurance products are one of the few products on the market that can be 100% reimbursed for all insurance policies.

And health products (Wagmo Wellness) cover all routine physical examinations and preventive care, mainly reimbursement of basic expenses, including veterinary inspections, vaccines, beauty, dental care, etc.

Wagmo products are priced from US$20/month to US$59/month. Dog insurance plans start at US$13, while cat insurance plans are as low as US$9, and different charging standards are adopted according to the age and breed of the pet. Users only need to submit a photo of the receipt in the App, and they can be reimbursed through Venmo and Paypal. The turnaround time for health claims is 24 hours, and the turnaround time for insurance is 72 hours.

The founder of Wagmo believes that the differentiated approach to health products constitutes its core competitiveness. If a pet can get all regular health services under normal conditions, the risk of problems will be reduced. In addition, the earliest expenses incurred after raising a pet are usually basic expenses, such as vaccination, veterinary inspection and grooming.

The separation of health and insurance products is also conducive to platform drainage: the user group of a product can expand horizontally after it is on the platform. Up to now, Wagmo has served thousands of customers and processed nearly 30,000 health claims. Since the epidemic, Wagmo's user base has increased by 20% every month.

In addition, Wagmo is actively exploring the 2B direction. Since the beginning of this year, it has signed contracts with companies such as MongoDB and Salesforce to include pet insurance as part of its employee benefit plan.

It is reported that Wagmo plans to use this round of funds for team expansion, product function development and corporate cooperation.

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