Israeli financial technology startup Spott on Thursday announced the launch of what it describes as the world's first digital insurance platform tailored for e-commerce vendors. The announcement follows a successful round of funding totaling $8.3 million.
The platform, part of a suite of financial services for internet businesses, gives sellers the ability to insure their stores against claims while keeping them informed about the latest insurance rules from e-commerce marketplaces such as Amazon.
"Spott provides competitive insurance quotes to e-commerce businesses and enables them to swiftly purchase policies that satisfy the requirements of marketplaces at a price that reflects the business’ risk level," the company said.
Founded in 2021 by veterans of the IDF's 8200 military intelligence unit, Spott aims to be at the forefront of the e-commerce liability insurance market, which is currently valued at $5 billion, according to the company. Spott has 20 staff members, based in Tel Aviv and New York, and is currently seeking additional employees at both locations.
The company's founders – CEO Guy Salame, VP of product for insurance technology startup Planck; CTO Roma Bronstein, co-founder of Jeeng; and Chief Product and Risk Officer Amit Batzir, former Head of Data Intelligence at PayPal; and chairman Yuval Tal, who founded Payoneer and Borderfree – combined their industry expertise to develop Spott.
Salame highlighted the increasing need for the company's services in the rapidly growing fintech sector.
"We’re witnessing a widening chasm emerge between the rapidly growing e-commerce industry and the established financial services sector that has been operating according to the same principles for decades," he said. "Spott bridges the gap between these industries by providing sellers with seamless access to innovative and lucrative financial products tailored to their unique needs. The technology we’ve built enables sellers to succeed and thrive in a highly competitive and dynamic environment that is filled with risks and opportunities."
The latest round of funding was led by venture group Team8, where Tal is Managing Partner. The group invests in fintech, cybersecurity and data companies.
Tal was enthusiastic about Spott's future. "As front-runners in the insurance space, the table is set for Spott to build a strong global customer base and roll out a much broader suite of financial services that will help sellers accelerate growth, scale faster and manage risk more effectively."