Leocare, a neo-insurance based in Rennes, announced this Tuesday morning to raise 110 million dollars, to continue its development. This 100% digital insurance, founded in 2017, now has more than 50,000 customers, and thus wishes “accelerate the provision of a single, unique insurance contract for the entire household“. Its co-founder and president Christophe Dandois is the guest of the new eco on France Bleu Armorique.
You raise 110 million dollars, what will you use it for?
Above all, it is for the customers, the French, the French and the Europeans. The first challenge of this lifting, is to accelerate the growth of Leocare, to facilitate the support of customers and therefore consumers in this approach to a new insurance, on French territory, since LeoCare wishes to be a leader in its domestic market. The second is to rely on the know-how ultimately in Brittany, in particular on technologies with challenges of recruitment, innovation, therefore, with doctors in artificial engineering, experts in machine learning, but also recruitment of customer advisers with colleagues who have profiles between baccalaureate and bac+2, BTS insurance. The third use of this fundraising is also to deploy Leocare, but also the French insurance model, in other European countries, and it will start with Spain in semester 2 of 2022.
But it’s quite a sum, especially for a Rennes start-up. How do you explain it?
I think you have to have the humility and the lucidity to tell yourself that it’s several factors. A first step which, of course, is the continuity of the fundraising that took place at the beginning of the year and therefore the ability of the entire management team to deliver the objectives set. The second point is that we are on a subject like insurance, and it is true that we have demonstrated that despite the Covid, we were able to be, as we say in English, Covid-proof and therefore to show that we were there to serve. It is important because in the end, when we come out of confinement, we have seen that the world of insurance has been a bit hectic, and building Leocare means meeting the needs of a society with something much more simplified, much more transparency, more flexibility. Third point, we are in a global context where, in the United States, in Germany already, these subjects of neo-insurance are already a little ahead of us. And so, somewhere, I would say that we are in the process of recovering our delay.
You have more than 50,000 customers, you have existed since 2017. What is the added value of neo-insurance compared to more traditional insurance?
First point ishave all the family insurance in a single application : car, scooter, bicycle, smartphone, school insurance, house, all in one place, in your pocket. The second point is to be able to have the right guarantees at the right time and at the right price; “during confinement, I left my car in the Colombier car park for a few weeks, I am in a position to lower my guarantees and when I collect my car, in real time, by taking a picture of my vehicle, I recover my original warranties.” Which means I have saved our clients money by having the right guarantees at the right time. And the third point, it’s called proximity, is to set up prevention services that are super personalized to ultimately give more peace of mind when driving, when insuring your children.
Do you have some examples?
We developed a service called TakeCare. We recover the GPS coordinates of bodily accidents, it is open data provided by the Ministry of Transport. On these bases, we have reconstructed the context of the accident, and when you enter this risk zone, you have a push notification that says “hello Christophe, you are entering a risk zone, Leocare recommends the most great caution”. It’s a whole set of free services that provide personalized prevention.
You are in a real development phase. Who says development, also says recruitment. How many positions do you want to create?
Today Leocare is 82 people, including more than 80% here in Brittany. A target of 150 recruitments in the next 12 months, again, very mainly in Brittany, with three axes. A first which is the entire R&D team, of course, to continue to go further in innovation, for example, becoming the first European insurer of autonomous cars, which requires a whole set of technological know-how. Second axis of recruitment, Leocare is certainly digital, but it is also human, advisors who support our clients, so there too, it is an important issue for the recruitment of claims management experts. And then, third point, which is more related to the marketing approach, B to C, the ability to acquire, to go further. Today we have 60,000 customers so we also need this skill.
Will Leocare stay forever in Rennes?
I owe a lot to Brittany since I made my life there, I studied there. So anyway, it stays in my DNA and also that of Noureddine Bekrar, the other co-founder. Second point, beyond this personal aspect, Rennes and Brittany have developed a certain number of historical skills, in particular thanks to the world of telecoms which are irrefutable. These skills that we need all over the world, we can be proud to have them here in Brittany, so in our continuity of innovation, Rennes will always remain an important point. And then, in the development aspect, growing a consumer brand in Brittany is also something that is close to our hearts.