Kalepa Secures $75 Million in Series B Funding
AI-powered insurance technology startup Kalepa has raised $75 million in Series B funding at a valuation of $470 million, as investors increase their interest in artificial intelligence solutions for the insurance industry.
The funding round was led by growth equity firm Updata Partners, with participation from existing investors IA Ventures and Inspired Capital.
The latest investment brings Kalepa's total funding to $91 million, following its $14 million Series A round in 2021.
The New York-based company plans to use the capital to expand its AI product portfolio, enter new markets and increase its workforce.
AI Platform Targets Insurance Operations
Kalepa develops an AI-powered platform designed to support insurance companies across operations, underwriting, pricing and portfolio management.
Traditional insurance underwriting involves analysing large volumes of information, including applications, claims histories, business risks and supporting documents. These processes can require significant time and specialist expertise.
Kalepa's platform uses AI agents to coordinate these workflows, helping insurers assess risks, prioritise opportunities and make pricing decisions more efficiently.
The system is designed to combine AI capabilities with human expertise, allowing professionals to remain involved in complex decisions and situations requiring approval.
Its customers include major insurance companies and managing general agents such as W.R. Berkley, Bowhead Specialty and AmRisc.
Insurers Report Improvements in Underwriting Efficiency
Kalepa says the volume of work processed through its platform increased fourfold over the past year.
The company also reported that insurers using its technology have achieved:
30% to 60% more premium per underwriter.
58% reduction in quotation time.
Improved efficiency across underwriting and pricing workflows.
Kalepa also reported that its revenue and customer count tripled over the past year while maintaining positive cash flow for more than two years.
These figures are company-reported results rather than independently verified industry-wide performance measures.
Expansion Plans Include New Insurance Markets
The funding will support Kalepa's expansion into additional areas of the insurance value chain, including insurance product development, reinsurance and distribution.
The company also plans to double its workforce in 2027, with most new hiring expected across engineering, artificial intelligence and commercial roles.
Kalepa co-founder and CEO Paul Monasterio said the company's approach is to determine which tasks are best handled by AI and which require human expertise.
The strategy aims to help insurance professionals focus more on complex risks, important decisions and broker relationships while AI supports routine and connected workflows.
AI Investment Is Reshaping the Insurance Industry
Kalepa's funding highlights the growing demand for specialised AI solutions in financial services.
Insurance companies are increasingly exploring automation to improve risk assessment, pricing accuracy and operational efficiency. However, underwriting decisions require reliable information, transparency and accountability.
As AI adoption expands, platforms that combine automated workflows with human oversight could become increasingly important for insurers.
Kalepa's next phase will test whether its technology can scale across more insurance markets while maintaining the accuracy and professional judgement required in the industry.
