Motor insurtech Marshmallow unveils $90 million fundraise, eyes international expansion

By Rebecca Delaney

April 15 - (The Insurer) - UK motor insurtech Marshmallow has raised $90 million worth of funding from a trio of backers: Portage, BlackRock and Columbia Lake Partners, the company said on Tuesday.

The raise comes three years after the business’ $85 million Series B fundraise, during which time the unicorn has almost doubled its valuation to just over $2 billion.

The latest investment is a mixture of equity and debt from funds managed by BlackRock and CLP.

With a focus on providing car and van insurance to those who have moved to the UK, Marshmallow said it has now insured more than 1 million drivers and has a turnover run rate of over $500 million.

According to Marshmallow, people who move to the UK face unproportionally higher motor insurance prices compared to those born in the country.

Following the latest fundraise, Marshmallow said it plans to expand its proposition to support newcomers across a wider range of unmet financial needs to become a one-stop financial services provider for people moving to the UK.

Marshmallow will also seek to expand its proposition internationally, with plans to offer financial products to people who have relocated to other countries, extending beyond just those who have moved to the UK.