The company’s platform is designed to empower insurance brokers by automating processes that are traditionally manual and time-consuming, 1Fort said in a Thursday (April 17) press release.

“This investment will allow us to grow even faster by doubling down on our AI features and strengthening our broker and carrier partnerships,” 1Fort Co-Founder and CEO Anthony Marshi said in the release.

Currently, 1Fort employs AI to automate several broker workflows. These features include autofilling insurance applications, retrieving quotes from carriers, comparing coverages, and integrating payment and financing options, according to the release.

By utilizing these AI tools, brokers save up to two hours per submission and increase their bind rate by as much as 20%, the release said.

Furthermore, 1Fort offers complementary risk management software that helps brokers better retain clients by allowing businesses to manage policies and proactively prevent claims, per the release.

1Fort has partnerships with over a dozen leading brokerages and carriers and saw nearly 200% month-over-month revenue growth in 2024, the release said.

Jim Andelman, co-founder and managing director of Bonfire Ventures, which led the funding round, said in the release that 1Fort’s solutions target a trillion-dollar market.

“Building AI-powered, service-as-software solutions to modernize legacy workflows in the insurance vertical is one of today’s most exciting opportunities,” Andelman said.

The insurance industry has a head start in the AI race, PYMNTS reported in February.

Companies operating in this sector are technologically sophisticated and have deep libraries of operating data, so they frequently have the infrastructure, employee talent and resource allotment framework in place to leverage the innovations more effectively and faster than those in other sectors.

Latin American InsurTech Olé Life said in January that it raised $13 million with the help of PayPal Ventures to boost its growth across the region by establishing local operations in key markets and introducing new products beyond life insurance.

In May, InsurTech Cover Genius said it raised $80 million in Series E funding to grow its embedded protection offering and to invest in new technology like improve digital insurance distribution solutions, AI-powered claims handling and additional protection solutions to be made available on the platform.