Spanish startup Life5 has raised its third funding round. The company also has a new name — it used to be called Getlife. In addition to its home country, Life5 now sells life insurance products in France.
Life5 just raised a €10 million Series A investment (equivalent to $10.7 million at today’s exchange rate) after raising a €1 million pre-seed round and a €5.5 million seed round. Singular, Mundi Ventures, and Global Brain (Sony Financial Ventures) are returning as new investors.
Life5 began with a simple idea. Many people wish to purchase life insurance for a variety of reasons. Nonetheless, it is frequently an unpleasant process because insurance companies sometimes require medical exams. In other circumstances, they simply refuse to cover you because you have a prior ailment or do not meet the criteria.
Life5 collaborates with numerous insurance firms and simplifies the subscription procedure to modernize this business. Customers can sign up on Life5’s website in a matter of minutes. They merely need to complete a form.
The company’s underwriting engine can manage 700 illnesses and risk professions, increasing acceptance rates significantly. As a managing general agent, the startup collaborates with insurers and reinsurers such as Axa and CNP Assurances.
Life5 will offer a unique life insurance package to safeguard your loved ones if you die unexpectedly based on your age, answers, and needs. In Spain, you can, for example, insure a mortgage or leave a lump sum.
“At Life5 we want people to have access to fair and modern life insurance policies, with no small print. Our aim is to banish the idea that taking out life insurance is a complicated process, which is why we offer users the chance to purchase life insurance simply and quickly,” co-founder and CEO Guillermo Alén said in a statement. “This new round of financing will allow us to continue growing and revolutionise the life insurance sector by offering distinct solutions.”
While Life5 has already secured a significant amount of capital, it remains a minor participant in the insurance business, with only 9,000 families currently insured by a Life5 insurance product.
Life5 distributes its products through brokers, agents, and affiliates in addition to direct-to-consumer channels. Following the success of Spain and France, the company intends to expand into Germany and Portugal.