Zagreb, 11th of May 2020 – Zagreb technology provider Amodo has secured a €3 million investment. The investor in this first leg of the Series A funding round is Lead Ventures, a Hungarian venture capital fund. The funds will be used for further scale-up of Amodo’s activities and markets, as well as further development of the company’s products based on telematics, primarily for insurance companies.
Amodo has developed a digital platform for insurance companies which allows them to launch personalized insurance products and services based on their client’s behavior. The platform has processed data of over 1 billion kilometers covered by about 1.5 million cars.
As driving behavior is the determining factor in assessing the risk of securing a vehicle, driver and passenger insurance companies show great interest in the application of such solutions. For example, by using Amodo’s solution insurance companies can more accurately assess the risk of their clients and therefore offer personalized insurance products based on driver behavior.
Further, insurance companies open the possibility to offer just-in-time products such as automatically offered short-term travel insurance while approaching a country border or comprehensive insurance necessary for specific road conditions the driver is frequently traveling on.
The Amodo Platform is currently used by companies such as AIG, Porsche, and BNP Paribas, while the market for usage-based insurance policies shows a great year to year growth globally. Currently, clients have purchased over 25 million contracts for 417 types of usage-based insurance products in 55 countries. Most of the major insurance companies launched or plan to launch similar services. According to predictions, by 2025, such products will provide USD 95 billion in revenues, with an 18 percent estimated annual growth.
Lead Ventures Zrt. was launched in 2018 and intends to invest EUR 100 million in Hungary and the CEE region. Lead Ventures saw potential in the US/Croatian Amodo because of the rapidly expanding market. „We made the decision to invest a total of EUR 3 million in the company for a 3-5-year period. Amodo is a swiftly growing, innovative company, which has already proven itself in the market of usage-based insurance. The company has now reached that level of development to enter new markets with proper capitalization and expand its client base. For the additional growth of Amodo, the creation of a new development center is essential, which will be established in Budapest.” – explained Balázs Haszonics, CFO of Lead Ventures and Amodo’s newest Board member.
“In the past six years, Amodo has created over 25 products in 18 countries on five continents for major international insurance companies. We plan to dynamically grow in the coming years and want to quadruple our client base by 2023. We found our ideal partner for our technological and business development and growth” – stated Marijan Mumdziev, CEO of Amodo.
Amodo was founded in Zagreb, Croatia in 2013 and is the only technology company in Croatia which has developed a telematics-based platform, thus assisting the market entry of innovative insurance products such as usage-based insurance.