Faye Raises $10 Million for Travel Insurance App: Startup Funding Roundup

Three travel tech startups raised nearly $22 million over the past two weeks 

>>Faye, a travel insurance startup, has raised $10 million in series A funding. 

The round was led by Munich Re Ventures with support from existing investors Viola Ventures and F2 Venture Capital, along with Menora Tech and former Allianz executive Mike Nelson.

The Tel Aviv-based startup has now raised a total of $18 million. Faye released its product in the U.S. a year ago. The service is now available in 48 states, with plans to soon expand nationwide.

Users can access and manage Faye’s travel insurance products through a digital platform. Coverage includes trips, health, belongings, pets, and more. Some newer add-ons include coverage for adventure and extreme sports as well as vacation rental damage.

Through the app, users can access customer service representatives, file claims digitally, and receive insurance payouts. 

The company recently released a portal meant to help travel advisors and agents more easily sell and track travel insurance packages. The company also opened its software so travel distributors can more easily integrate the Faye product into their existing offerings. 

Faye said it has generated “millions” of dollars in premiums during its first year and expects to quadruple revenue in 2023. The company believes it can fulfill a need for trip protection as airports continue getting busier while the travel industry remains short-staffed. 

The funding will go toward business growth, developing new partnerships, adding new insurance offerings, and strengthening the software and integration capabilities, the company said.

>>Hotel Manager, a London-based hotel tech startup, has raised an additional $2.7 million (£2.2 million) toward its seed round, which includes another $1.2 million (£1 million) raised several months ago. 

Fuel Ventures led the round, with support from Pitchdrive VC, COREangels Lisbon, Boost Fund, StartupIst Ventures, and a number of angel investors.

Hotel Manager provides a customizable app to hoteliers that can be integrated with various software products for staff and guests. Tools available through the app include restaurant payments, hotel check-in, guest chat, and more.  

The funding will go toward expanding partnerships with underserved hoteliers, adding new products, and hiring. 

>>Zuzu Hospitality Solutions, a Singapore-based hotel platform that offers revenue and property management for independent hotels, raised $9 million in series B funding. (See Skift’s story.)

SoftBank Ventures Asia led the funding round, with participation from Atinum Partners, Wooshin Venture Investment, Visor Ventures, and JG Digital Capital.

>>Hotelzify has raised an undisclosed amount of seed capital led by TBO and All In Capital. 

The India-based startup aims to help short-term rental operators and hoteliers increase visibility and direct bookings on the Google Hotel Ads platform. The app includes tools to help operators set up a website and manage bookings. 

Skift Cheat Sheet

Seed capital is money used to start a business, often led by angel investors and friends or family.

Series A financing is typically drawn from venture capitalists. The round aims to help a startup’s founders make sure that their product is something that customers truly want to buy.

Series B financing is mainly about venture capitalist firms helping a company grow faster. These fundraising rounds can assist in recruiting skilled workers and developing cost-effective marketing.

Series C financing is ordinarily about helping a company expand, such as through acquisitions. In addition to VCs, hedge funds, investment banks, and private equity firms often participate.

Series D, E, and, beyond These mainly mature businesses and the funding round may help a company prepare to go public or be acquired. A variety of types of private investors might participate.