AI Insurance Startup Corgi Raises $160 Million at $1.3 Billion Valuation

Corgi, an AI insurance startup, announced a $160 million funding round on Wednesday led by the growth equity firm TCV. 3 billion. The company provides insurance to startups and allows those startups to sell insurance to their own customers. It uses AI to generate quotes, evaluate workflows, price policies, and manage claims.

Corgi operates from a downtown San Francisco headquarters where employees work seven days a week. Conference rooms contain mattresses for overnight stays, and CEO Nico Laqua sleeps in a room called the Founders' Room. The company owns and operates the Corgi Cafe, an all-night coffee house open to the public.

The cafe attracts young startup founders working late on product deadlines. The company mascot is a brown and white corgi named Trudy that is collectively owned by employees. A Telegram bot reminds staff to feed, walk, and bathe the dog.

Corgi claims annualized revenue of around $100 million from thousands of startup customers. Customers include Deel, Artisan, and Eragon. Corgi insures Eragon against liability if its AI models produce errors. Josh Sirota, CEO of Eragon, said the company received a policy quote in less than 24 hours through an all-digital process.

The company also launched a new insurance service for long-haul truckers on the same day as the funding announcement.

Laqua, 26, and Emily Yuan founded Corgi after previously running a gaming company called Basket Entertainment. They enrolled in Y Combinator's 2024 summer cohort. Laqua said the idea for Corgi came from negative experiences with traditional insurers while running Basket Entertainment. He stated that slow quotes and denied claims prompted the shift to AI-based insurance.