Honeycomb raises $40 million as digital insurance model gains momentum
The Israeli-founded insurtech expands its AI-driven underwriting platform and generated Gross Written Premium (GWP) of $275 million exiting 2025.
Digital insurance company Honeycomb has raised $40 million in a new funding round. The round was led by Zeev Ventures, with participation from existing investor Ibex Investors and new backers including Peakline Alpha Partners, Meitar Partners, and Practical VC. The company’s previous round in 2024 raised $36 million, and this latest extension comes two years later at a higher valuation.
The new financing brings Honeycomb’s total capital raised to approximately $95 million. The company employs about 210 people, 70 of them in Israel and 140 in the United States. It said it currently insures assets worth more than $100 billion and generated Gross Written Premium (GWP) of $275 million exiting 2025.
Honeycomb was founded in 2019 by CEO Itai Ben-Zaken and CTO Nimrod Sadot. Ben-Zaken previously co-founded and served as CEO of Comprendi, an AI-based marketing startup, and also led the digital insurance division of Quotient. Sadot co-founded and served as CTO of HotelRatePro, a hotel rate monitoring platform later acquired by a U.S. company. Earlier in his career, he held senior engineering roles at Intel and Applied Materials.
The system developed by Honeycomb analyzes hundreds of data points for each property, from location and environmental conditions to the quality of structural components such as roofs, façades, electrical systems, and basements, and combines AI models, computer vision, and high-resolution imagery. This enables detailed, dynamic risk assessment for each insured asset, supporting more accurate underwriting, competitive pricing, and coverage for properties that traditional insurers often overlook.
Honeycomb says its underwriting model has achieved a loss ratio significantly below the industry average, while maintaining competitive premiums.
