Outmarket was founded in late 2023 by Vishal Sankhala, who previously led product at digital life insurance distributor Ethos before it went public earlier this year, and who previously worked at Facebook and Uber.
The startup focuses on commercial insurance, a segment where brokers navigate a complex mix of coverage options, from general liability and workers' compensation to directors and officers liability. Sankhala said there are over 250 different types of coverages, each with its own application forms and documents.
Outmarket's AI automates those administrative tasks, helping brokers such as Marsh and Aon evaluate and recommend policies quickly.
The company said it has attracted more than 300 insurance agencies as customers, including 25 percent among the top 100, since launching its product 14 months ago. "For insurance, which is typically not a fast-moving industry, it's quite fast growth," Sankhala told TechCrunch.
The $34.5 million round was led by SignalFire with participation from Fika Ventures, Permanent Capital Ventures, TTV Capital and Dash Fund. It follows the startup's $17 million Series A and values the company at $355 million, according to a person familiar with the investment.
Outmarket faces competition from Fulcrum AI and Further AI, which are also building AI operating layers for insurance brokerages. Sankhala said the US property and casualty insurance market alone, which exceeds US$1 trillion in annual premiums, leaves plenty of room for growth.