London-based insurtech startup Marshmallow has raised $90 million in new funding to expand beyond car insurance and launch new financial products tailored for migrants. The company — now valued at over $2 billion — plans to introduce lending services later this year and build a comprehensive financial platform for newcomers to the UK.
Launched in 2017, Marshmallow’s technology-driven model has helped it address a major gap in the insurance market: fair pricing for immigrants often penalized or excluded by traditional insurers. The company now insures over one million drivers, with a profitable revenue run rate of $500 million annually.
CEO Oliver Kent-Braham sees migration as a long-term growth engine, noting that the UK welcomed more than 1.2 million migrants in 2024 alone. As more people move to the UK for work and life opportunities, Marshmallow aims to offer everything from car and home insurance to personal loans under one roof.
This latest round — backed by Portage Capital, BlackRock, and Columbia Lake Partners — is split between equity and debt. It builds on the company’s previous success and follows a larger trend of insurtechs embracing sustainable growth models.
Marshmallow’s rise also highlights the growing influence of diverse founders in tech. Co-founded by twin brothers Oliver and Alexander Kent-Braham and CTO David Goaté, the startup is one of the UK’s few unicorns led by Black founders.
While other insurtechs like WeFox have struggled to find footing, Marshmallow stands out for its focus on underserved customers and long-term financial inclusion — a mission investors believe gives it a distinct competitive edge.