Cowbell Secures $60 Million Series C Funding From Zurich Insurance Group

PRESS RELEASE

PLEASANTON, Calif., and ZURICH, July 26, 2024 /PRNewswire/ -- Cowbell, a leading provider of cyber insurance for small and medium-sized enterprises (SMEs), announced today that it has closed a $60 million Series C equity investment from Zurich Insurance Group (Zurich), a leading global multi-line insurer.

With the $60 million investment, Cowbell plans to scale operations to meet growing demand, extend its presence in key international markets, bolster cyber resilience services, introduce new cutting-edge products to the market, and further strengthen strategic partnerships. Leveraging existing advances in AI and GenerativeAI (GenAI), the company aims to expand its technological infrastructure to drive further efficiencies and support expedited policyholder and broker decision-making across traditional, digital and API-driven channels.

Zurich's investment in Cowbell underscores its commitment to supporting businesses with state-of-the-art cyber protection and resilience solutions, particularly within the SME and middle market segments, where companies are exposed to cyber risk more than ever. It also aligns with Zurich's ambition to leverage best-in-class technology and expertise to address the evolving complexities of cyber risk management.

The global cost of cybercrime is estimated to reach $24 trillion by 2027, and ransomware attacks alone cost small businesses $1.7 million per incident on average.

Sierra Signorelli, CEO Commercial Insurance at Zurich said: "Cyber threats remain a major concern for business leaders due to their constantly evolving nature. To address this, we continue to invest in enhancing our cyber capabilities and building a strong support system for our customers. Cowbell is an excellent partner for managing cyber risks. They use a data-centric approach to risk management, provide continuous risk assessments, actively monitor threats, and have strong underwriting expertise. And all of this is centered around a highly advanced digital platform designed to boost cyber resilience for their customers."

Jack Kudale, founder and CEO, Cowbell said, "This investment from Zurich is the strongest endorsement of Cowbell's vision and capabilities yet and deepens our footprint in the global cyber insurance market. With a refined focus on product expansion, we will accelerate our efforts to deliver advanced and efficient cyber insurance solutions to SMEs and mid-market businesses globally, ensuring they have the protection and tools they need to navigate the rising threats in the evolving cyber landscape."

Cowbell's broker-first approach and reputation for its easy-to-use platform and effective education experience for the broker community are gaining worldwide traction and trust, with licensed producer growth of nearly 3x over the last two years. With better outcomes for customers at its core, reinvestment back into the business will see Cowbell double down on advancements in AI and GenAI to bring greater transparency to cyber risk. In doing so, Cowbell will facilitate smarter decision-making and raise cyber resiliency standards for brokers and businesses worldwide.

This latest investment marks a major milestone in Cowbell's fast-scaling journey, following a year of rapid geographic and product expansion, technological growth, and the onboarding of industry-heavyweight experts, further solidifying its position in the global cyber insurance market.

With $202 million raised to-date, Cowbell has remained capital-efficient throughout its journey. Cowbell has remained steadfast in its clear vision to protect, educate and empower SMEs and mid-market businesses, and the broker community serving them - from today's and tomorrow's threats.

J.P. Morgan Securities LLC acted as financial advisor and Gunderson Dettmer Stough Villeneuve Franklin & Hachigian, LLP provided legal counsel to Cowbell in this transaction.

About Cowbell
Cowbell is a pioneer of Adaptive Cyber Insurance, leading the way in providing small and medium-sized enterprises (SMEs) with coverage adaptable to today's and tomorrow's threats and the advanced warning of cyber risk exposures. With its unique AI-based approach in risk selection and pricing, Cowbell's continuous underwriting platform, powered by Cowbell Factors, compresses the insurance process from submission to issue in less than 5 minutes. Backed by 25 prominent global (re)insurance partners, Cowbell serves SMEs across 50 U.S. states, the District of Columbia, and the United Kingdom, assessing businesses with revenues up to $1Bglobally. Founded in 2019, Cowbell is based in the San Francisco Bay Area and has employees across the U.S., Canada, India, and the U.K.

For more information, please visit https://cowbell.insure/.    

About Zurich Insurance Group
Zurich Insurance Group (Zurich) is a leading multi-line insurer serving people and businesses in more than 200 countries and territories. Founded 150 years ago, Zurich is transforming insurance. In addition to providing insurance protection, Zurich is increasingly offering prevention services such as those that promote wellbeing and enhance climate resilience. Reflecting its purpose to 'create a brighter future together,' Zurich aspires to be one of the most responsible and impactful businesses in the world. It is targeting net-zero emissions by 2050 and has the highest-possible ESG rating from MSCI. In 2020, Zurich launched the Zurich Forest project to support reforestation and biodiversity restoration in Brazil. The Group has about 60,000 employees and is headquartered in Zurich, Switzerland. Zurich Insurance Group Ltd (ZURN), is listed on the SIX Swiss Exchange and has a level I American Depositary Receipt (ZURVY) program, which is traded over-the-counter on OTCQX. Further information is available at www.zurich.com.