Pineapple, South Africa’s InsurTech, has revealed the successful completion of a funding round amounting to R400 million. This milestone establishes a new record as the continent’s largest Insurtech fundraising effort, underscoring investor faith in Pineapple’s innovative approach to insurance.
New investors, namely Futuregrowth, Talent10, and MIC, spearheaded the investment round, with additional support from existing investors such as Old Mutual ESD, Lireas Holdings, ASISA ESD Fund, and E4E Africa.
The successful funding round was driven by Pineapple’s impressive growth and sustainable claims ratios, surpassing industry standards for a relatively new insurance portfolio.
“This funding round stands as a testament to our tech and AI-powered operating model, enabling our mission to offer affordable and comprehensive insurance to all South Africans,” Pineapple co-founder and CEO, Marnus van Heerden, says.
Pineapple’s technology empowers the company to serve customers at a mere 20% of the cost incurred by traditional insurance providers. This efficiency allows Pineapple to extend significant cost savings in insurance premiums to customers, thereby fueling further growth.
“Pineapple’s innovative approach to insurance aligns seamlessly with our investment philosophy. Their exceptional growth and customer-centric model exemplify a potent combination of technology and market understanding,” Amrish Narrandes, Head of Futuregrowth Asset Management’s Private Equity/Venture Capital, adds,.
“With our R100 million investment, we are thrilled to spearhead this round, fueling Pineapple’s journey in redefining the insurance landscape.”
Pineapple has recently captured attention through its clever advertising and noteworthy sponsorships of the Rugby World Cup and Cricket World Cup on SABC, ensuring that all South Africans can witness the Springboks defending their title and the Proteas vying for their first win.
A substantial number of customers, reaching tens of thousands, have chosen Pineapple to insure their vehicles. The distinctive offerings of Pineapple have played a pivotal role in reaching a new demographic of insurance customers, with nearly half of them being first-time buyers.
Despite being a relatively young player in the industry, Pineapple has swiftly earned a reputation for excellence. In a recent survey, the company was ranked as having the best combined online rating among all insurance providers.
“Our business was founded on the principle of customer centricity. We place our customers at the centre of every decision we make, which has really paid off for us,” says Pineapple co-founder, Ndabenhle Ngulube.
The insurtech company offers simple and affordable comprehensive car insurance via its website and app in partnership with Old Mutual Insure.
Co-founder Matthew Elan Smith explained that this funding round not only propels Pineapple closer to its ambitious vision but also cements its position as a catalyst for change, one satisfied customer at a time.
Also read: This Insurance Provider Broke The Internet With These Hilarious Billboards
If you drive around Johannesburg, Durban or Cape Town, you may have been lucky enough to see Pineapple Tech’s new billboards in the wild. If not, we’ve got you.
For their first ATL campaign since launching in 2017, Pineapple has created the campaign of “100% pure insurance, 0% other stuff”. No gimmicks, no trickery, no BS. And for this, their campaign reflects the no BS approach with an honest, dry and humorous campaign, mainly by taking the mickey out of consumers’ usual bombardment of insurance messaging.
Pineapple’s billboards – love them or hate them, you’ll remember them.
Finally, insurance advertising, we’re not mad at. If you’d like to learn more about Pineapple Tech, you can visit their newly refurbished site here https://pineappleinsurance-web.onelink.me/fIXB/r3gv43bm or download their app here https://pineappleapp.onelink.me/zh1u/fllof1xf.
Also read: Pineapple Bags R80 Million Investment To Upend Car Insurance Sector
Pineapple announced today that it has closed Series A round at R80 million to upend the car insurance industry. The investors in the new funding include Lireas Holdings, the ASISA ESD Fund, E4E, Vunani Capital and the Old Mutual Enterprise & Supplier Development Fund.
Pineapple is an InsurTech startup that has captured the hearts and minds of many South Africans. After launching in 2018, the company has won many awards locally and internationally, including MTN Consumer App of the Year, Stanford startup award, and was the first Insurtech accepted into Google’s Launchpad Accelerator Programme.
Pineapple launched into the South African market in mid-2018 with the goal of solving the trust issue in insurance.
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