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US / Israel: Digital travel insurance startup Faye has announced that it has raised $31 million in Series B funding.
It brings the company’s total funding to date to $49 million, having secured $10 million in Series A funding last May.
The round was led by Portage, with participation from Lumir Ventures, along with existing investors F2 Venture Capital, Viola Ventures and Munich Re Ventures.
Since launching its app to American travellers in 2022, Faye has continued to expand its offering to where it is today: travel insurance that is designed to provide comprehensive coverage and enable smarter, faster claims resolutions; 24/7 assistance and companionship for anything that can go wrong in-trip; real-time trip monitoring; and alerts as well as fast fintech solutions to enable payments, reimbursements and savings for trips.
Faye co-founder and CEO, Elad Schaffer, said: “In just two years, Faye has become the most-loved, fastest-growing and highest-rated company in our space. Our sales have grown ten times year-over-year while setting a new standard on customer experience and retention. That’s no small feat, and is a result of our relentless focus on delivering the best technology and highest level of customer care, coupled with our commitment to hiring the best talent out there.
“We are excited to move into a new phase of growth, creating a robust platform for looking after travellers throughout their entire journey. Those hitting the road with Faye will receive the best insurance experience with our tech-driven holistic coverage and care that enables smarter and smoother trips through personalised travel and financial solutions.
“Soon, Faye will be every American’s travel protector and companion,” he added.
Faye expects to grow its revenue fivefold in 2024, serving hundreds of thousands of travellers around the world. Simultaneously, the company is focused on forging new partnerships with top brands, travel agencies and distribution partners looking to provide consumers with a tech-powered and modern travel experience.
Stephanie Choo, partner, Portage Ventures, who has joined Faye’s board of directors, said: “We have been following Faye’s journey from the beginning and are excited to see the company marry both travel and fintech solutions in order to deliver holistic care to travellers. This is an underserved and often overlooked market with untapped value to capture.
“Portage remains bullish as ever on the next generation of fintech companies and we are excited to back the team in their journey to build Faye into one of the world’s largest platforms dedicated to looking after travellers’ needs,” she added.
Faye has made additional enhancements to its platform since its Series A round last year, including: pre-trip essentials so travellers know the vaccine / health mandates / plug type per destination; telemedicine access to over 20,000 doctors worldwide and home / hotel visit scheduling; app recommendations to travel like a local; and emergency numbers to access.
The company’s core benefits already include a digital claim filing app [along with the ability to track a claim’s status to completion], fast claims reimbursements into the Faye Wallet for immediate use, and the ability to access travel support experts 24/7 wherever a traveller is in the world.
In the coming months, Faye plans to use the capital injection to fuel growth, develop new products and scale its operations across its insurance, travel and fintech offerings. In addition, the company plans to grow its US headquarters in Virginia and build out its existing offices in New York, Florida and California.
Faye’s protection can cover travellers’ flights, hotels, health [including pre-existing conditions], luggage and pets.
