Small business insurtech releases growth metrics as it crosses five-year milestone
May 18, 2022 – Pie Insurance (“Pie”), a leading tech-enabled provider of workers’ compensation insurance to small businesses, today released its latest figures, highlighting the company’s strong and sustainable growth since its founding in 2017.
In the first quarter of 2022, Pie more than doubled its gross written premium over the same period in 2021. Additionally, in the first four months of 2022, Pie increased its annualized run rate premium (ARR) to nearly $300 million. Pie’s customer base and partner channel have also continued to grow at an impressive pace. Since the beginning of 2021, Pie has more than doubled its number of policyholders and insurance agency partners.
“There remains an incredible opportunity for disruption in the small business commercial insurance market, and Pie’s growth across every facet of the business is a testament to the demand for affordably priced and accessible coverage,” said John Swigart, co-founder and CEO of Pie Insurance. “We are focused on delivering positive unit economics driven by an incredibly granular approach to underwriting and pricing, scalable multi-channel distribution, and a world-class team of insurance and technology talent.”
Pie’s rapid growth is most importantly accompanied by continued strong underwriting results. “It is very common and expected for a new insurance business to have worse than average loss ratios,” Swigart continued. “This is driven by typical new business ‘penalties’ and relatively immature operations compared to incumbents.” Pie, however, has been able to buck this trend by achieving claim frequency below industry averages and loss ratios on par with the industry average.
Additional milestones since the beginning of 2021 include:
-Partner expansion: Pie has more than doubled its number of insurance agency partners, now working with more than 2,800 independent agents across the U.S. These channel partners submit over 30,000 applications each month, with over 40 percent submitted through Pie’s proprietary API.
-Pie-oneer growth: Pie now has nearly 400 Pie-oneers. Most recently, the company announced key leadership appointments including David Samuels as its first chief commercial officer, Dimitrius King as its first chief claims officer, Kelly North as its vice president of business development, and Jen Straus, Pie’s vice president of people operations. The company also announced the addition of Laura Bishop to its board of directors.
-Customer satisfaction: Over the past 12 months, Pie has maintained a policyholder retention rate above 80 percent. The company also consistently receives 5-star ratings from its small business customers and proudly retains an Excellent TrustPilot rating.
-Product and partner enhancements: Pie launched its first Pay-as-you-go solution in January 2022, providing small business owners with a flexible billing option that can reduce upfront costs, improve overall cash flow, and simplify the workers’ comp audit experience.
-Customer commitment: In September 2021, Pie unveiled a customer-driven marketing campaign featuring real customers’ stories of how switching to Pie insurance saved them money, time, and in some cases prevented them from closing their doors during the pandemic.
About Pie Insurance
Pie Insurance is leveraging technology to transform how small businesses buy and experience commercial insurance, with the goal of making it affordable and as easy as pie. Pie’s intense focus on granular, sophisticated pricing, and data-driven customer segmentation enables Pie to match price with risk accurately across a broad spectrum of small business types, which allows Pie to offer more affordable insurance to small business owners. Since 2017, Pie has received over $300M in funding and partnered with over 2,800 agencies nationwide.