Counterpart Raises $50M in Series C Funding Led by Valor Equity Partners

The new funding will support four key areas: launching new specialty insurance products, creating industry-specific programs, improving claims and risk management tools, and strengthening Counterpart Insurance Company so it can retain more risk and better align with partners across the insurance value chain.

The announcement comes at a time when risks for U.S. small businesses are rising. In FY 2025, the U.S. Equal Employment Opportunity Commission received nearly 270,000 inquiries, and recovered $528 million through early enforcement actions, the highest in its history. Data from Counterpart shows a rise in disability discrimination, race or color discrimination and sexual harassment claims, which can often cost over $100,000 per case even before legal fees.

Counterpart has spent over five years building advanced data, technology, and underwriting capabilities to better price and manage risk. It has processed more than 250,000 applications and issued over 35,000 policies through 2,800 brokers and four A-rated carriers. The company reports strong results, including faster claim settlements, better-than-industry outcomes, and nearly 175% premium growth in 2025.

Read More:Michelle Caruso-Cabrera Joins Star Mountain Capital as Senior Advisor

"We are witnessing a generation of small business owners walking into the most litigious environment in American history without protection," said Tanner Hackett, CEO and founder of Counterpart. "AI-related lawsuits are already being filed targeting hiring, content creation, and customer service practices. Companies cannot afford to stand still as AI advances, but every step forward brings new and often unseen risks. We built Counterpart because the legacy insurance market isn’t equipped to solve these types of challenges on its own, and the cost of inaction is increasing for all stakeholders."

“We look for companies that become the category, and Counterpart is doing exactly that," said Jon Shulkin, Partner at Valor Equity Partners. “Counterpart saw the AI inflection coming years before anyone else and understood that the right technology, in the hands of the right insurance experts, could transform the experience for every party in the transaction. We have seen that each policy Counterpart writes and each claim it handles informs its models and improves the experience for the next customer.”

About Counterpart

Founded in 2019 by Tanner Hackett, Counterpart is building a modern system for managing business risk. It leverages AI and insurance expertise through its “Agentic Insurance” approach to deliver faster, smarter liability solutions for brokers and businesses. Backed by major A-rated carriers such as Aspen, Markel, and Westfield Specialty, the company has also been recognized by Inc. Magazine, CB Insights, and Business Insurance for its innovation in the insurance industry.

Read More:MagicCube Receives Investment from e& capital