Cover Whale Secures $40 Million in Equity Financing to Drive Insurtech Innovation
New York, NY – July 28, 2025 – Cover Whale Insurance Solutions, Inc., a leading insurtech specializing in connected insurance for commercial auto, has announced a significant milestone with a $40 million equity financing round led by Morgan Stanley Expansion Capital. This investment will fuel the company’s mission to transform the commercial trucking insurance landscape through advanced technology, analytics, and expanded product offerings.
Founded in 2020, Cover Whale has rapidly emerged as a disruptor in the commercial auto insurance sector. Its proprietary technology platform leverages real-time telematics, AI-driven analytics, and algorithmic underwriting to enable insurance agents to bind trucking policies online in minutes. This approach has resulted in industry-leading loss ratios, even in the challenging commercial trucking market. The company’s innovative driver safety program, which integrates continuous underwriting, real-time risk monitoring, and AI-powered driver coaching, has been instrumental in reducing losses and promoting safer driving practices.
The $40 million equity investment follows Morgan Stanley Expansion Capital’s initial structured debt investment in Cover Whale in May 2024. “Today’s growth equity investment reflects our conviction in Cover Whale’s business strategy, execution, and leadership team,” said Nick Nocito, Executive Director of Morgan Stanley Expansion Capital. “Over the last 18 months, the team has built a high-quality, scalable platform that we believe will generate significant growth in the coming years.”
Dan Abrahamsen, Founder and CEO of Cover Whale, emphasized the significance of this milestone: “After years of rapid growth, 2024 marked a pivotal year for Cover Whale as we focused on re-building our foundation. This financing will enable us to accelerate investments in our technology platform and expand our product offerings to drive increased growth and profitability.”
Cover Whale has demonstrated strong financial performance, reporting $133 million in gross written premiums in the first half of 2025, with a full-year target of $277 million. Since its inception, the company has partnered with nearly 5,000 agents to write over $1.3 billion in gross premiums, earning recognition as a top insurtech to watch by PropertyCasualty360 and one of Forbes’ Best Startup Employers.
The company’s focus on technology and automation has streamlined the insurance process for agents and policyholders while enhancing road safety for drivers and the broader public. With this new funding, Cover Whale is poised to further innovate and expand its reach, solidifying its position as a leader in the insurtech industry.
For more information about Cover Whale and its innovative insurance solutions, visit coverwhale.com.