Fruga raises £1m in Seed funding to expand its open banking insurance platform
The round was backed by NPIF II and Haatch to support team growth and market expansion.
Share allotment filed at Companies House
Fruga operates an open banking platform that allows insurance providers to reward customer loyalty through everyday spending credits.
Manchester-based InsurTech scaleup Fruga has secured £1m in Seed funding to scale its open banking technology and help consumers reduce annual insurance renewal costs. The round was backed by NPIF II - PXN Equity Finance and venture capital firm Haatch.
Fruga allows users to link their payment cards to insurance policies, earning credits through everyday spending with partner brands to discount future renewals. The fresh capital will be deployed to expand the workforce, with key appointments anticipated early next year, alongside scaling its customer acquisition pipeline across the UK insurance market.
From the founder
"Insurers hold some of the biggest customer bases in the country, yet the industry has trained those customers to see their policy as a price and nothing more. Every renewal sends them back to the comparison sites, and the insurer that wins them this year loses them the next. We started Fruga to take customers out of that aggregator cycle and put real value back at the heart of the relationship. Customer value and data insights is what makes that possible."
Ross McCarthy
CEO and founder at Fruga
Investor perspective
"Insurance is a huge market, but the relationship between providers and their customers has remained largely unchanged for years. Most consumers only hear from their insurer when it's time to renew, and price is often the deciding factor in whether they stay or switch."
Joe Ball
Senior investment associate, PXN Ventures
Use of funds
- 01Grow the team
- 02Accelerate go-to-market
