ClaimSorted, a British startup reworking insurance coverage claims from a “continual ache level right into a aggressive benefit“, right this moment introduced a €11.4 million Seed funding spherical, one of many largest InsurTech Seed rounds on document.

The spherical was led by Atomico, with participation from Eurazeo, Y Combinator, firstminute capital, Begin Ventures Capital, and a community of insurance coverage veterans.

“Ask anybody in insurance coverage the place the weakest hyperlink is, and most will level to claims TPAs,” mentioned Pavel Gertsberg, Founder and CEO of ClaimSorted. “We noticed the claims course of being painfully gradual. Errors made by TPAs that ought to’ve been caught early ended up consuming our complete revenue margin. So, we determined to construct one thing higher.”

ClaimSorted’s Seed spherical positions it among the many largest early-stage InsurTech fundraises in Europe in 2025, notably inside the claims and operations automation section.

Most comparable startups have raised smaller rounds – for instance, muffintech (€3.5 million), Loxa (€1.9 million), and Klaimy (€1.2 million), every specializing in particular insurance coverage automation niches. Bigger rounds, equivalent to Baobab Insurance coverage’s €12 million Collection A, have a tendency to come back from firms increasing underwriting or cyber-risk choices quite than claims operations.

Essentially the most straight comparable mannequin is MarvelX’s €5.4 million spherical, which funds growth of an AI spine for insurance coverage workflows, together with claims.

On this context, ClaimSorted’s spherical underscores the rising investor give attention to AI-enabled claims modernisation, an space the place Europe is seeing growing exercise however comparatively few gamers at scale.

“Insurers don’t need one more ‘AI claims platform’ with an ambiguous worth proposition. They need a tangible end-to-end service that takes the headache out of claims, helps their clients once they want it most, and protects their backside line,” mentioned Andreas Helbig, Companion at Atomico “And it’s working: By means of quicker and higher claims decision, ClaimSorted is growing policyholder NPS by +10, whereas delivering important discount in price per declare. It’s uncommon that we see such a transparent and powerful ROI.”

Based in 2024, ClaimSorted was born out of firsthand frustration. Whereas working their very own insurance coverage enterprise, Founders Pavel Gertsberg and German Mikulski relied on outsourced claims suppliers, often known as, third-party directors (TPAs) to course of claims.

However they stored working into the identical points insurers face throughout the board: claims that ought to take per week dragged on for months, inconsistent service harm buyer retention and poor claims administration by TPAs eroded profitability.

In addition they shortly realised that clients don’t care about underwriting or shiny advertisements, they care about what occurs when life goes flawed: the automobile breaks down, they lose their job or there’s a fireplace.

“By combining a market main claims workforce with a set of embedded AI brokers, we’re in a position to present policyholders with a 5-star expertise through the claims course of, settle claims 3 occasions quicker than conventional TPAs whereas serving to insurance coverage firms save thousands and thousands,” continued Gertsberg.

ClaimSorted spent a 12 months assembling their workforce with expertise from prime insurers together with Hiscox, Lemonade, AXA, Hartford, and Liberty Mutual. That workforce was merged with the startup’s proprietary AI-enabled claims platform, leading to a next-generation TPA: Claims TPA 2.0.

“Claims aren’t only a price centre, they’re the second of reality within the insurance coverage journey,” added Gertsberg. “With this funding, we’re doubling down on serving to insurers flip claims into their largest asset.”

Since launch, ClaimSorted has partnered with greater than 20 insurers throughout the US, UK, and EU, reportedly serving tens of 1000’s of policyholders.

This new funding will speed up product growth, broaden operations throughout key international markets, and scale partnerships with insurers looking for a contemporary various to legacy TPAs.