Diesta, an insurtech startup based in London, has secures €1.8 million in seed money. With this finance, Diesta will grow its platform for premium payments, which has a chance to save insurance companies billions of dollars annually.
The investment round comprised some well-known foreign investors. Participants included Antler, the most active early-stage investor in Europe; SixThirty, an international venture capital business specialising in fintech and insurtech; SystemaNova, a UK venture finance firm, and Westerly Ventures, a US venture capital firm.
The money will go towards increasing scalability and advancing product development. Diesta will be ready to onboard brokers, MGAs, insurers, and possibly even reinsurers, fulfilling its objective of securing a significant share of the UK premiums market.
Julian Schoemig, Co-Founder of Diesta, said: “With Diesta, we are addressing a problem which I experienced first hand and thousands of insurance entities continue to face on a daily basis. This is an example of a legacy industry practice that is costing insurance companies millions every year. Our platform provides a solution which directly addresses this challenge, while setting the foundation for a transformative shift in insurance industries in Europe and around the world.”
Early-stage insurtech businesses have shown their tenacity and capacity to raise capital in spite of the tech downturn. A new Dealroom analysis states that the business has a greater emphasis than ever on improving operational efficiency and that it still offers a $7 trillion opportunity.
Ryan Falvey, Partner at Restive, commented: “We were thrilled to lead Diesta’s early financing. We know how challenging payment reconciliation is in the global insurance industry and were extremely impressed by the expertise, dedication and technological sophistication of the team. Restive invests early in innovative businesses that have the potential to transform financial services so we are proud to work with Julian and the team to scale this business.”
The Diesta founders have an array of experience from working in internet startups, banking, and insurance. They initially connected while on an Antler home in London. German engineer Julian Schoemig has extensive experience in the insurance sector, having worked in the US, UK, and Germany.
Ollie Purdue, Partner at Antler, added: “The success of British fintech startups has become the stuff of legend in tech ecosystems around the world and I have every confidence that insurtech will be the next chapter of that growth story. Diesta is at the forefront of a new generation of insurtech talent emerging in London and they have the potential to become one of the most important players in this space. We are delighted to have supported Diesta from day zero of their growth journey and have every confidence in the future growth of this team.”
Diesta, a next-generation reconciliation engine for the financial services sector, was founded in 2022. The insurance industry loses $32 billion a year distributing premium payments around the supply chain. Diesta’s platform uses a central engine to speed up this process, saving insurance and broking companies up to 75% of their expenditures.