InsurTech Luko has raised €50 million in a Series B funding round led by EQT Ventures to help scale up the Paris-headquartered business.

Existing investors Accel, Founders Fund, Speedinvest and Orange Ventures also participated in the round, alongside angels with insurance and technology backgrounds, including Assaf Wand, chief executive and co-founder of US unicorn Hippo Insurance.

The new funding will be used to further invest in Luko’s proprietary technology, product development and growing the team.

Since launching in 2018, the founders have assembled a team of 85 people with skills and experience from organisations such as Airbnb, Facebook, Admiral, Uber, Doctolib, Axa and Withings.

Luko provides property insurance for renters and homeowners alike and says it places “social responsibility at its core”.

It currently has over 100,000 policyholders in France with pan-European expansion plans on the horizon. It says it has grown “by more than six times” since its last funding round.

The company is B-Corp-certified and aligns its growth with an insurance model centred around its Giveback programme.

Since its inception, 70 per cent of Luko’s premiums are pooled with other customers and this pool is used to pay compensation, with 30 per cent going towards Luko’s management costs.

At the end of the year, any premiums left in the pool that haven’t been used to refund claims are donated to charities chosen by policyholders.

The firm also offers sensors to track water leakage and electrical consumption, and its latest Doctor House product is a video consultation service that provides expert knowledge on how to take care of your home and delay wear and tear.

Raphaël Vullierme, chief executive and co-founder of Luko, said: “Luko's ambition has always gone beyond insurance. Our long-term vision is to help build and democratise the sustainable homes of tomorrow, enabling everyone to live at home with peace-of-mind.”

Rania Belkahia, deal partner at EQT Ventures, who has joined Luko’s board, said: “Luko's mission to transform the future of homecare and protection through transformative technology, powered by a social conscience, really caught our eye and we are looking forward to their continued growth into a European powerhouse.”

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