Former Groupon and Deutsche Bank AG staff at start-up Wefox raise $650 million in Target Global-led funding round.

Insurance technology firm, Wefox was founded by former Groupon Inc. and Deutsche Bank AG staff who raised $650 million in a funding round that values the company at $3 billion today.

The investment was preceded by Target Global, a venture capital firm. Wefox sell’s property-insurance products and similar software across Germany, Poland, and Switzerland.

Chief Executive Officer Julient Teicke mentioned in an interview the company plans to use the money. Wefox plans to expand to new countries, including Italy, and later this year add life – and health insurance products to its portfolio.

Insurtech firms are on the rise when it comes to adopting technology. This makes sense when learning that Berlin’s home to some of Europe’s most prosperous financial technology firms. For example, a broker app named ‘Trade Republic’, launched by a former Merrill Lynch banker, raised $900million at a valuation of more than $5billion.

On-boarding, administration and claims reports are just a few elements Wefox takes care of, whilst using brokers and advisers for sales.

In a quote by Teicke, “Claims rates are lower this way, and the loyalty of customers is greater.”

The CEO has made a bid to double the company’s overall revenue to about $350 million. This venture holds plenty of promise for the start-up due to having an array of relevant and accredited sources to provide knowledgeable advice.