Brooklyn, NY based digital life insurance startup Fabric has raised $2.5m in Series Seed funding led by Bessemer Venture Partners. Fabric aims to simplify the life insurance purchasing process through their easy-to-follow digital platform.
Fabric, which is fully licensed as an insurance agency, built an entirely digital process through which customers can purchase policies issued directly from insurance provider Vantis Life. “If customers ever have a question, we offer support from licensed insurance agents,” wrote Adam Erlebacher, cofounder and CEO of Fabric, in an email to VentureBeat. “Most other insurance websites funnel inquiries to insurance agents who have an incentive to sell complex insurance policies such as whole life insurance that pay them high commissions.” According to Erlebacher, if you’re aged 25 to 44, accidental death is your single biggest risk. Rather than force a whole life insurance plan upon these individuals, the company offers Fabric Instant, which starts at six dollars per month for $100,000 in accidental death coverage.