Hudson Structured backs insurtech Kin again, participating in $33m round

Hudson Structured Capital Management (HSCM), the reinsurance, insurtech, insurance-linked securities (ILS) and transportation focused investment manager, has participated in a new funding round for homeowners insurtech Kin, as the company secured a $33 million extension to its Series D.

Hudson Structured Capital Management has a long history of alignment with Kin Insurance, having first invested in the insurtech back in 2019 through HSCM Bermuda, when it participated in a $47 million funding round for the company.

Hudson Structured further demonstrated its commitment to Kin’s business model by participating in a $35 million Series B funding round for Kin, in 2020.

Which was followed by the investment manager co-leading a $64 million Series C investment round for Kin in 2021 and then participated in Kin’s Series D earlier in 2022 as well.

The asset manager then participated in a $145 million debt capital raise for Kin as well.

This $33 million Series D extension for Kin saw the funding round led by QED Investors, while returning investors Geodesic Capital, Allegis Capital, Hudson Structured Capital Management Ltd. (doing its reinsurance business as HSCM Bermuda), and Alpha Edison all participated as well.

In total, Kin has now raised roughly $265 million in equity funding to date.

Kin said the funding support from investors like Hudson Structured has helped it “produce systematic, capital efficient growth”, with over $370 million in premiums expected to be delivered and “the corner to positive operating income” now said to be turned.

Kin said it is “also succeeding in geographies where other legacy insurers are either leaving or stalling growth.”

“Investors are putting a premium on growth in the context of profitability, and we’re growing exceptionally fast because we’re able to profitably serve customers who aren’t being well served by incumbents,” explained Sean Harper, CEO of Kin. “Because we’re already profitable and well funded, we didn’t need to raise right now, but the additional funding strengthens our liquidity position and can be used to fuel more growth. Also, we were able to raise without too much effort, at the same share price, while so many other technology companies are having trouble securing capital.”

“Kin is structured to scale and skillfully manage the entire insurance value chain, which is why we’re so excited to double down on our investment in this truly seminal business,” added Amias Gerety, partner at QED. “By leveraging advanced analytics and led by an experienced and world-class management team, Kin is able to offer terrific service at an affordable price. Their direct-to-consumer approach and vertically integrated value-added chain assures that customers receive a best-in-class experience, even in markets that other insurers are pulling out of. We believe that Kin will be known as the defining company of the insurtech 2.0 era.”

HSCM continues to support Kin with growth capital, showing that it remains committed to the insurtech’s business model.