$150 million fundraising round by Hippo reflects changing housing market
Hippo, a Palo Alto, Calif.-based home insurance startup, raised $150 million in Series E funding at a $1.5 billion valuation.
Why it matters: This reflects rising home sales, falling mortgage rates, and the highly successful IPO and aftermarket performance of rival Lemonade.
- New investors Dragoneer, Ribbit Capital, FinTLV, and Innovius Capital were joined by return backers Felicis Ventures and Iconiq Capital.
- Hippo has now raised around $310 million in total funding, including a Series D round last July at a $1 billion valuation.
The bottom line: "Hippo sells policies in 29 states, after working to get regulatory approval from those state insurance watchdogs. It struck a deal in June to buy Spinnaker Insurance Co., giving it an insurance carrier while still allowing it to have a portion of its premiums underwritten by other insurance partners," Bloomberg notes.