Groundfloor finds seamless, technology-savvy business insurance agency platform for its niche, cutting-edge financial and crowdfunding startup.
Founded in 2013, Groundfloor is a fast-growing tech startup on a mission to reformat and open private capital markets for the benefit of individual investors and the investments it funds. The unique financial product for individual investors allows non-accredited and accredited investors alike to participate directly in real estate investment loans on a fractional basis. By crowdfunding loans, it opens the door to short-term, high-yield returns backed by real estate.
We manage our cash flow very closely, so being able to defer payment or choose how often we’re going to pay makes a difference for us.
With limited knowledge of the technology industry, all of the traditional insurance brokers Groundfloor Finance worked with struggled to find them the right coverage. “They always had a really hard time classifying us and covering us because we’re not a bank. We fall into a gray area as far as insurance is concerned,” says Deborah Stevens, office manager at Groundfloor.
The result of traditional insurance brokers’ lack of understanding of Groundfloor’s business model was a long, drawn-out process to gain insurance coverage. It had to switch brokers a couple of times over a 3-year period and go through the painful activity all over again. Needless to say, the team was quite frustrated and looking for a better solution.
A Commercial Insurance Platform That Understands Technology
A true knowledge of technology and startups is embedded into the fabric of Layr. For the majority of his career, Co-Founder and CEO Phillip Naples was a commercial insurance broker who focused heavily on technology businesses long before those industries, such as crowdfunding or cryptocurrency, were mainstream. Prior to launching Layr, Co-Founder and Head of Product Andrew Egenes was an e-commerce startup founder who also lived and breathed technology every day. Their combined experience was the catalyst for the creation of Layr’s technology-forward commercial insurance process.
“We have automated the intelligence of the commercial insurance broker and the underwriter with technology that can accurately recommend coverage for businesses and predict how much it will cost. As a result, we don’t have to go back and forth with insurance carriers to get a quote, rather our technology can quote in real time,” explains Andrew Egenes, co-founder and head of product of Layr.
Faster, Easier Tech-Enabled Commercial Insurance
This automation made the process of obtaining insurance a seamless one for Groundfloor, which has three policies with Layr, including a business owner’s policy (BOP), umbrella and management liability. “We were able to not only get it placed, but get it placed quickly because of our knowledge and understanding of modern and highly technical companies and business models,” says Naples.
Intuitive User Interface and Unwavering Customer Service
The Online Management Portal Layr provides for its customers keeps documents and communications all organized in one place. At any time, you can download your commercial insurance policies on the spot instead of having to request them and wait. But Layr doesn’t just set you up with digital tools—customer service is equally important, and customers can expect a quick reply from a real human. In fact, the Head of Customer Success is a licensed commercial insurance agent in all 50 states.
We used to have to send documents back and forth via email, and try to make sure we saved the right ones. It’s a more seamless process now.
“We used to have to send documents back and forth via email, and try to make sure we saved the right ones. It’s a more seamless process now. And Layr’s response time is amazing. When I email directly or need a document quickly, they are always very responsive and easy to work with,” Stevens explains. “We moved locations in September and we were getting emails from the property manager that they needed proof of insurance.” With Layr, customers can login and use the platform to generate and deliver certificates of insurance instantly.
Tailored and Flexible Payment Options
As a startup that manages its finances on a month-to-month basis, Groundfloor also appreciates Layr’s flexible payment terms. “We manage our cash flow very closely, so being able to defer payment or choose how often we’re going to pay makes a difference for us,” Stevens notes.
Groundfloor can now concentrate on all the other aspects of its business. It no longer requires a focus on constantly managing its commercial insurance needs. With Layr, the busy startup found a platform and support team that not only understands its technology-based business model, but also provides solid customer service and a smooth user experience that will serve it well as it continues to grow and succeed in its niche financial space.
- Business Owners Policy
- Management Liability
Groundfloor’s Favorite Benefits
Our in-house and licensed customer advocates are always available and ready to help.
We allow customers to pay for their business insurance monthly and with a credit card.