Insurtech AuditCover 'evens playing field' with high-tech ATO
Insurtech AuditCover ‘evens playing field’ with high-tech ATO
28 March 2022
HDI-backed insurtech AuditCover has closed a $1.7 million seed round and says its platform evens the playing field between the average tax payer and the tax office, which has edged far ahead in data and technology capability.
The insurtech recently secured insurance capacity from HDI Global Specialty Australia to nationally roll out its insurance distribution platform, which combines tax audit insurance with modelling software to allow taxpayers to be instantly covered for professional fees when faced with an audit.
Since launching the new tax audit insurance solution last month, the company has engaged hundreds of accounting practices as distribution partners and integrations with technology partners across the industry are underway.
“HDI are the perfect insurance partner to support our vision. They are an innovative global player with a track record for launching dynamic insurance solutions in market,” founder and CEO Gil Snir said. “It is time to even up the playing field”.
Tax audit insurance stood out as a category of general insurance that had barely changed in over 20 years in an area where compliance, technology and the latest price modelling capabilities were converging, Mr Snir says.
“Both tax and insurance are highly regulated and complex areas. Our mission is to remove the ambiguity and protect taxpayers from the growing risk of an audit, enquiry or review.”
HDI says it is keen to support tech driven innovative companies and expand its specialty offering in an under-served area such as tax audit insurance and Claire Wivell Plater, who has joined the AuditCover board and is also a Director at Youi and Athena Home Loans, says tax audit insurance is ripe for innovation.
“The Federal Government will be seeking to recover the deficit created by covid and natural disaster spending. At the same time, taxpayer affairs are increasingly becoming more complex,” she said.
The funding round was led by Hunter Equity Group and international backers include NASDAQ-listed Greenlight Re and UK-based Insurtech Gateway, while local investors include Ignition Founder Guy Pearson and BGL Founder Ron Lesh.
