Coalition

Coalition offers cyber insurance to cover cyberattack-related incidents such as stolen funds, lost business income, ransomware extortion, computer replacements, breach response costs, and even costs related to reputation harm and repair. The company offers insurance with a maximum coverage of USD 15 million to companies with up to USD 5 billion in revenue. Coalition’s insurance policies are underwritten by insurance giants such as Swiss Re Corporate Solutions, Argo Group, and Lloyds of London.

Coalition also offers technology errors and omission (E&O) insurance for protection against legal liability resulting from errors in the technology products they sell. It also offers cybersecurity solutions of its own, including an endpoint detection and response platform (EDR), managed services, risk assessment, and staff training services. Coalition combines its cybersecurity offering with its insurance business line to provide threat monitoring and real-time intelligence as well. The company’s managed response teams act as the first line of defense, preventing attacks before they turn into insurance claims while helping companies assess losses and providing additional support during the claims process.

In April 2023, Coalition announced AI initiative “CoalitionAI" , launching generative AI services for their broker and enterprise clients. Features at launch would include Cyber Insurance knowledge platforms providing AI powered insights to brokers and businesses - with plans to add features that will support quoting, underwriting, and incident response. 

Coalition has grown significantly through acquisitions, snapping up BinaryEdge in 2019 to build vulnerability scanning tools, and commercial insurer Attune in October 2021 to leverage its significant insurance marketplace.

In August 2022, the company acquired the property and casualty insurer, Digital Affect Insurance Company from Munich Re Digital Partners US. The acquisition enabled it to offer insurance policies through its own admitted insurance carrier.

In July 2023, Coalition acquired Jumbo , a consumer privacy smartphone application, in what was reportedly an acqui-hire deal to gain access to Jumbo’s team and security expertise.

Key customers and partnerships

As of August 2022, the company served more than 160,000 customers. Coalition offers its active cyber insurance offering to the US, UK, and Canada through global insurers, including Arch Insurance North America, Allianz, Ascot Group, Lloyd's of London, Swiss Re Corporate Solutions, Vantage, and Zurich American Insurance Company.

The company offers its services to industries such as healthcare, retail, e-commerce, technology, real estate, energy, manufacturing, the public sector, and even novel industries such as blockchain and cryptocurrency.

Coalition entered into a multi-year partnership with Allianz in June 2022 where Allianz was to back a share of Coalition’s Active Cyber Insurance programs for SMEs in the US and UK. 

In September 2022, the company partnered with the cybersecurity startup, CrowdStrike , to protect policyholders of Coalition against cyber attacks and help them comply with the key contingencies required for a cyber insurance policy. 

Funding and financials

In June 2022, Coalition raised USD 250 million in a Series F funding round. The round valued the company at USD 5 billion from the USD 3.5 billion valuation achieved during its Series E raise in September 2021. The funds were expected to be utilized to expand its services, to accelerate its growth, and on international expansion.

In October 2022, Coalition partnered with the private equity firm BDT Capital Partners to launch Ferian Re – an independent Class 3B reinsurer that will act as a source of capacity to support the cyber insurance programs of Coalition. Ferian Re was launched with an initial capitalization of nearly USD 300 million.

As of September 2021, the company had an employee headcount of 265. Coalition reported that its revenue grew nearly 200% YoY and the run rate gross written premium (GWP) exceeded USD 775 million, as of July 2022.