Goodcover's Series A Funding: Accelerating Affordable Renters Insurance Offering in California and Beyond

At Goodcover, our mission is to elevate financial peace of mind with affordable and effective insurance for all. We launched earlier this year with our first product, modern renters insurance. Today we’re announcing funding that will accelerate delivering on that mission.

Our $7.5M Series A financing is led by Goodwater Capital, with participation from Fuel Capital, Broadhaven Ventures, Global Founders Capital, Liquid 2, and TransRe. We’re especially thrilled to collaborate with the team at Goodwater and their dedicated background in consumer technology who’ve helped fund companies such as Monzo, ZeroDown, and Zumper.

Next Step: bring affordable renters insurance to more states

Today, Goodcover’s renters insurance is only available in California. With this funding we will begin to roll out nationally, helping to bring affordable, effective financial peace of mind to as many people as possible.

Getting Goodcover launched in one state was a huge process (for gory details read this HN post), but fortunately that was the heavy lifting. While we plan to eventually be available in all 50 states, launching an insurance offering in each one is a separate process - especially with a novel cooperative model like ours - so we’ll be announcing them as soon we can.

If you want to be notified when Goodcover starts up in your state, please click here to drop in your zip and email to let us know.

PS - I’ve focused on the fact that we’ll roll out renters in more states, but the truth is our mission demands that we offer more than just renters Insurance. We are working on home and condo as well, and evaluating opportunities in auto and life insurances, so stay tuned.

Member Cooperative: The Fair Model

Critical to our success has been our relationship with Goodcover Members - and this starts with our cooperative model that makes insurance fairer and more approachable. As promised when we launched, after a fixed fee we take only what’s needed to cover claims, returning the rest back to members. This is how insurance began - neighbors protecting neighbors - but it is a foreign concept in insurance today. The model works and we’ve proudly returned 1.89% of premium through our Member Dividend this year.

Members who don’t want to keep the funds returned to them have the option of contributing them to our Goodpool fund, which is used for good – such as offering free insurance to medical and other frontline workers fighting COVID-19.

Introducing the Goodprice Guarantee

It’s also no secret that a large part of Goodcover’s popularity has been the “affordable” part of our mission. On average we are 48% less expensive than legacy providers, but we’ve clocked up to 72% less! We’ve done the work to create efficient, affordable, modern insurance -- we have no middlemen, no agents, no paperwork, no superbowl ads -- we’ve cut out waste with a streamlined digital experience and passed the savings on to members.

That said, if you have never heard of Goodcover before and are checking us out for the first time, it’s hard to know whether you are getting a good deal, or whether there’s some sort of gotcha. Well, you are, and there isn’t - but it’s our job to prove it to you. We get it, it’s easy to get overwhelmed browsing sales ridden comparison sites that look to complicate a pretty simple thing.

So, we’re introducing the Goodprice Guarantee. If after joining, you find a better deal somewhere else, simply send us your new policy offer - we’ll refund your Goodcover premium fully.

Hiring! Join Us.

We’ve got a lot to do, so we’re going to need help! Join our all-remote team, we’re looking for: Design Lead, Senior Backend Engineer, Senior Frontend Engineer, licensed agents to support the Member Experience, Growth Marketers, and everything in between. If you don’t see a specific role open send us a note to careers@goodcover.com.

Get Covered

Finally, our continual PSA: if you’ve never had renters insurance there’s no better time to start than today (especially given the tragic wildfires that ravaged the west coast). It starts at $5 a month, you can cancel anytime, it takes only a few minutes (record time is 57 seconds!)... There is no reason not to have it, yet we see so many people who are not protected. Please get it, if not with us, with someone, to protect yourself and your family from unnecessary pain.

If you’re insured already, send us your policy to compare@goodcover.com and we’ll send you back a detailed coverage comparison showing you how much you can save. If you like what you see, you can join instantly, and we’ll do the work of cancelling and refunding your old policy for you.

Thank you members, thank you team

This is a big day for Goodcover - I am so thankful for all the hard work and persistence of the team and everything you have done so far - and I am excited for what we’ll do next.

And to Goodcover Members - thank you for trusting us with your insurance. We know it’s an act of faith to contribute your real hard earned money in exchange for the promise that we’ll be there when you need us. We’ll make you proud!

Chris Lotz

CEO and co-founder