AI-native trucking insurance startup Nirvana Tech bags $100M late-stage round – SiliconANGLE

Commercial trucking insurance startup Nirvana Tech Inc. said today it has raised $100 million in a late-stage round of funding that will fuel its expansion into new industry segments.

The startup has built what it describes as the world’s first artificial intelligence-native operating system for insurance, combining telematics data with specialized large language models that help to assess drivers’ risk and provide personalized safety insights. The software aims to help trucking fleets to drive more safely and therefore reduce the cost of their insurance premiums.

Nirvana’s platform provides real-time insights on various aspects of a fleet’s operations, with telematics capturing data on driver behavior, including harsh braking, acceleration and cornering, in order to build up a comprehensive picture of each one’s driving patterns. Meanwhile, the safety intelligence component integrates this telematics data with Federal Motor Carrier Safety Administration guidelines to create personalized insights for each driver and reduce risk.

Instead of relying on traditional metrics, Nirvana’s telematics help to generate a more accurate assessment of each fleet’s overall performance and safety, analyzing their daily operations as well as isolated incidents. With this data, Nirvana is able to optimize fleets’ insurance premiums and help them generate average savings of up to 20% when they demonstrate safe driving behavior. The startup also tries to streamline the claims process when accidents do happen, enabling fleets to minimize downtime relating to the need for repairs and maintenance.

Nirvana Chief Executive Rushil Goel said the insurance industry is ideal for AI-driven transformation, because its value is based on multivariable equations and models applied intelligently to dynamic data. “We’re building insurance the way it needs to exist in the AI era, with data at the center and models trained on billions of real-world miles,” he said.

The startup says there’s an urgent need for its platform, because hundreds of trucking companies have folded in the last couple of years as a result of financial problems – and rising insurance premiums, along with increasing fuel costs, are a big part of that. Now, having gotten a foothold in the commercial trucking segment, it believes it can apply its telematics-based risk assessment model to other industries that require insurance.

The Series D round was led by Valor Equity Partners and saw participation from big name venture capitalists such as Lightspeed Venture Partners and General Catalyst.

Valor’s Vivek Pattipati said Nirvana has the potential to become a “generational company” because it has built an AI-native solution that’s designed to address a fundamental pain point in a massive legacy industry that’s rich in data but also bogged down by inefficient processes. “This round isn’t just about reinforcing Nirvana’s approach to proprietary telematics data, deep machine learning expertise and compelling execution in underwriting and claims,” he said. “It’s an opportunity for us to stake a claim in redefining an industry and exploring how Nirvana will apply its AI capabilities to benefit customers beyond market-leading insurance products.”

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