Delegance Brokerage Secures 3.1M in Pre-Seed Funding

Delegance Brokerage, a NYC-based provider of an AI-native commercial insurance brokerage platform, has secured $3.1 million in a Pre-Seed funding round.

The round was led by Grit Capital Partners with participation from Core VC, Gilgamesh Ventures, and Outside VC.

The company will use the funding to expand its team and strengthen partnerships with banks, private equity firms, and software platforms.

What is Delegance Brokerage?

Delegance Brokerage provides an AI-powered platform that helps businesses obtain and manage commercial insurance. Companies can upload existing policies or answer a few questions to receive insurance quotes.

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The platform supports more than 4,000 business classifications and over 36 types of coverage, including general liability, workers' compensation, property, commercial auto, cyber and professional liability insurance.

Its AI agent, Orin, answers questions about existing policies and helps businesses manage routine insurance tasks. Customers can also request policy changes, obtain certificates of insurance, file claims and review upcoming renewals. Licensed brokers handle complex placements, claims, and coverage decisions.

Delegance charges a disclosed flat fee of 5%, compared with traditional brokerage commissions that typically range from 15% to 25%, according to the company.

How Much Funding Has Delegance Brokerage Raised?

Delegance Brokerage has raised $3.1 million in its pre-seed funding round. The source does not provide details of previous funding rounds or total funding raised to date.

Who Invested in Delegance Brokerage’s Pre-Seed?

The $3.1 million pre-seed round was led by Grit Capital Partners.

Other participating investors include:

• Core VC
• Gilgamesh Ventures
• Outside VC

Why the Funding Matters

Delegance will use the funding to expand its team of licensed insurance brokers and engineers. It also plans to strengthen partnerships with banks, private equity firms, and software platforms.

These efforts will support the company's insurance brokerage and automated policy servicing operations.

Who founded Delegance Brokerage?

Delegance Brokerage was founded by Alexander Ledbetter and is headquartered in New York City.

"That commission paid for paperwork, and the paperwork never got faster," said Ledbetter. "I taught myself to code so software could do that work. The business should keep the money the paperwork used to cost."

Market and Business Growth

Delegance has established its brokerage operations and is licensed in 51 jurisdictions. It holds direct appointments with 25 insurance carriers, including Chubb, Travelers and The Hartford.

Delegance serves businesses across construction, commercial real estate, ecommerce, healthcare, and professional services. It also works with private equity firms to manage insurance across their portfolios.

In one example provided by the company, an 11-property commercial real estate portfolio with more than $100 million in insured value is managed under a single insurance programme.`

What Happens Next?

Delegance plans to grow its team of licensed brokers and engineers while expanding partnerships with banks, private equity firms and software platforms. The company will continue developing its AI-powered services to help businesses obtain and manage commercial insurance.

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