London-based insurtech startup Collective Benefits announces $10m investment from Prosus

London-based insurtech startup Collective Benefits announces $10m investment from Prosus

Published: 03-11-2021 12:31:00 | By: Pie Kamau | hits: 903 | Tags:

Collective Benefits, an insurance and benefits marketplace for independent workers, announced a $10 million investment from Prosus Ventures, the venture investing arm of Prosus, one of technology investors in the world.

Collective Benefits offers much-needed insurance and benefits for independent workers across sectors. This includes sick pay, accident and injury insurance, wellness, financial and education support, as well as a perks marketplace. This new funding will allow Collective Benefits to expand its suite of products and services for independent workers, as well as continue to expand its presence as the market leader across Europe and beyond.

Prosus has been investing in and operating platforms that depend on independent workers for nearly a decade, including ride sharing, food delivery and home services. This investment highlights the industry’s increasing focus on worker wellbeing and social impact in building a more sustainable future for independent workers.

Anthony Beilin, CEO and Co-founder, Collective Benefits: “We're delighted to welcome Prosus Ventures as an investor in Collective Benefits. They have significant expertise investing in and operating platforms that work with independent workers, and are an ideal partner to set the stage for Collective Benefits’ next phase of growth. We are transforming a hundred-year-old industry to finally serve the real needs and wants of the growing independent workforce. With this fresh funding, we’re on our way to realise our vision to create valuable benefits for independent workers.”

The only provider focused exclusively on insurance and benefits for independent workers, Collective Benefits has experienced solid traction since launching less than 18 months ago and is now live in over 20 markets, serving more than 200,000 members. The company’s vision is two-fold: to be the marketplace for independent workers, allowing them to enjoy all the benefits that employers would traditionally offer to full-time employees, and be the go-to partner for independent worker platforms, giving them a tangible solution to provide these protections and benefits to their workers.

Sandeep Bakshi, Head of European Investments, Prosus Ventures: “The pandemic has accelerated the momentum of flexible and independent work. Collective Benefits is in a unique position at the forefront of the demand for independent worker benefits. The company’s mission fits well within our investment thesis to find transformational technology solutions that create a meaningful impact by addressing large societal needs. We see clear opportunities for expansion across the independent economy and we’re excited for what’s to come.”

A significant and increasing portion of the workforce is employed through independent work. Currently, 96% of independent workers are without any form of income protection and over 50% have less than £200 in savings. In the European Union alone, nearly 24 million people, or 11% of the EU workforce, have provided services for a digital platform at least once. This vulnerability creates an unsustainable situation, not just for the workers, but also the companies that depend on them. As such, platform companies are looking for sustainable business solutions from which all parties can benefit. Offering more inclusive workplace benefits are a necessary next step, enabling platform companies to scale, attract and retain the best talent.