Clearcover
- Company typePrivate
- Founded2016
- HeadquartersChicago, United States
- Headcount101–250
- GTM typeB2B and B2C
- OfferingServices
Clearcover firmographics
Firmographics- Name
- Clearcover
- Legal name
- Clearcover, Inc.
- Website
- https://clearcover.com
- Company type
- Private
- Founded year
- 2016
- Operating status
- Operating
- Headcount range
- 101–250 employees
- Ownership category
- akta.pro rank
Clearcover industry classification
Industry- Product category
- Auto Insurance
- NAICS
- Direct Property and Casualty Insurance Carriers (524126), Direct Insurance (except Life, Health, and Medical) Carriers (52412), Agencies, Brokerages, and Other Insurance Related Activities (5242)
- SIC
- Insurance Carriers, Nec (6399), Insurance Agents, Brokers & Service (6411)
- akta.pro primary industry
- Standard Personal Auto Insurance (Liability, Collision & Comprehensive) (FSAJAAAA)
- akta.pro secondary industry
- Usage-Based / Telematics Personal Auto Insurance (FSAJAAAB)
Keywords
Where Clearcover is headquartered
LocationHeadquarters
- HQ city
- Chicago
- HQ country
- United States
- HQ region
- North America
Markets served
Clearcover business model
Business model- GTM type
- B2B and B2C
- Offering type
- Services
- Cost components
- Personnel, Technology or R&D, Marketing or Sales, Operations, Infrastructure, Supply Chain
Revenue model
- Auto insurance premiums (recurring policy premiums): Primary revenue stream: recurring auto insurance premiums paid by policyholders for standard and non-standard personal auto coverage. Premiums are typically paid via credit card or other electronic payment, with options for weekly, biweekly, or monthly payment cycles (Florida flexible product). Recurring premiums may be automatically charged; amounts can change based on policy changes and factors approved by insurance regulatory authorities. Policies are for the term specified in the insurance contract (typically 6 or 12 months).
- Embedded / white-label insurance commissions: Clearcover acts as carrier for partner brands embedding insurance via API, co-branded landing pages, or full white-label. Partners earn commissions on policies written; Clearcover retains the carrier margin and earns fees for handling all insurance operations on the partner's behalf. Example partners: Experian (embedded comparison shopping), Goosehead Insurance (bind-API integration).
- Agent channel commissions (MGA and reciprocal): Distribution through appointed independent agents writing Clearcover policies via the Agent Portal/Agent Hub; agents earn commissions (with bonus/incentive programs such as '26 for '26' in Florida offering up to 26 percentage points of combined commission and incentive value). Includes MGA revenue via Clearcover General Agency (CGA, Texas) and reciprocal exchange revenue via Clearcover Inter-Insurance Exchange (CIX, Illinois), with subscribers participating in forming/owning part of the exchange.
- Telematics-driven premium discounts and risk pricing: Voluntary telematics program offering premium discounts (never increases) in exchange for driving behavior data; data improves risk models and pricing accuracy, supporting profitability of the underwriting book.
Pricing tiers
| Model | Billing | Price |
|---|---|---|
| Other | Other | Quote-based personal auto insurance — premiums not publicly listed; individualized by driver, vehicle, state, and coverages selected. |
| Other | Pay-as-you-go | Florida flexible auto insurance — eliminates common cost barriers (no late fees, cancellation fees, or reinstatement charges) and offers weekly, biweekly, or monthly payment plans. |
| Transaction based/ take rate | Pay-as-you-go | Embedded/white-label insurance — revenue model is commission-based for partners; pricing set by Clearcover as carrier and shared via API. |
Go-to-market motion1 record
Distribution channels5 records
Marketing channels8 records
Clearcover product offering
Product offeringCore offering
Clearcover sells digital-first personal auto insurance directly to U.S. consumers through its website and mobile app, underwriting coverage in 18+ states via licensed carrier entities. Its offering combines traditional auto coverage (liability, collision, comprehensive, uninsured motorist, medical payments, alternate transportation, roadside assistance) with ClearAI-powered instant quoting and ClearClaims, which can pay eligible claims in as little as seven minutes. The company also distributes auto insurance through independent agents and via an embedded/white-label platform (Choice and a Quoting API) that lets partners offer branded Clearcover-backed policies.
Product overview
Clearcover Inc. is a platform-plus-modules architecture centered on a core digital-first auto insurance product (Clearcover Car Insurance) accessed primarily through the Clearcover Mobile App, with ClearAI® as the underlying AI engine that powers the entire product suite. The flagship consumer experience is the Clearcover app, which combines quoting, policy management, claims filing, and telematics; ClearClaims™, powered by ClearAI®, is the dedicated digital claims module that pays eligible claims in minutes using image-based damage assessment. On top of this core, Clearcover layers several modules: the optional Telematics Program for usage-based discounts, Car Care for vehicle maintenance savings, and the embedded insurance API/platform (with Choice) that white-labels Clearcover's quoting, binding, claims, and policy management under partner brands. Distribution is supported by the Agent Portal and Agent Hub for licensed agents. The corporate structure also includes multiple sub-brands and entities — Clearcover Insurance Company (carrier), Clearcover Insurance Agency, Clearcover General Agency (CGA, Texas non-standard auto MGA), Clearcover Inter-Insurance Exchange (CIX, reciprocal exchange for non-standard auto), and Dearborn Labs (an AI services firm) — which together form the next-generation insurance holding company founded in 2016 by Kyle Nakatsuji and Derek Brigham.
Differentiator
Problem solved
Functional benefit
Brands
- ClearAI: Clearcover's proprietary artificial intelligence engine that qualifies leads, quotes fast, and simplifies the claims process.
- Clear Claims
- Car Care
- Dearborn Labs
Products and services
- Clearcover Car Insurance Digital-first personal auto insurance providing liability, collision, comprehensive, uninsured/underinsured motorist, medical/personal injury protection, alternate transportation, and roadside assistance coverage, sold direct to U.S. drivers.
- Clearcover Mobile App
Quantifiable outcome
- Eligible claims paid in as little as 7 minutes; most claims paid in less than a week
- +7 more outcomes
Companies that use Clearcover
Customer profileNamed customers1 record
Segments4 records
Ideal customer profiles4 records
Clearcover technology and API
TechnologyTechnology focussed Yes
API detail
- Has API
- Yes
- API docs
- API detail
Core technology
AI maturity
App detail
Integration10 records
AI capability15 records
Feature9 records
Clearcover partnerships and signals
Strategic signalPartnerships
Eight partnerships are on record, tiered flagship and core.
- StradaflagshipSelected by Clearcover Inc. to power customer-facing operations with Strada's AI agent platform for insurance. Clearcover went live with 7+ automated customer service workflows over 90 days, achieving 74% containment rate across channels and a 24-point improvement in predicted CSAT scores. Plans to extend to claims-related and additional policy servicing workflows.
- Claim GeniuscoreStrategic partnership for AI-driven damage assessment and claim estimation. Qualifying Clearcover customers submit videos at policy start; Claim Genius's AI reviews them to support underwriting, fraud prevention/detection, and faster claim processing. Partnership positioned as the start of broader AI integration.
- Old American County Mutual Fire Insurance Company (NAIC #29378)flagshipUnderwriting partner in Texas. Policies offered and administered by Clearcover General Agency, underwritten by Old American County Mutual Fire Insurance Company (NAIC #29378). Powers the Texas non-standard auto market expansion via CGA.
- ServiceUpcorePartnership to redefine car repair. Clearcover policyholders can schedule repairs and maintenance with pick-up/delivery via ServiceUp's platform. Reported results: cycle times reduced more than 30%, saving 20+ hours weekly per adjuster.
- AdaflagshipPartnership to deploy customer-facing generative AI. Within the first month, over 35% of Clearcover customer chat inquiries were automatically resolved. Expanded in December 2024 with Ada Voice to enable 24/7 voice automation of the call center, leveraging retrieval-augmented generation (RAG) integrated with Clearcover's internal systems, knowledge bases, and policies.
- Goosehead InsurancecoreBind-API integration expanding Clearcover's embedded insurance strategy through Goosehead Insurance, Inc.
- ExperiancoreEmbedded insurance solution where consumers receive final, bindable quotes when they shop via Experian's auto insurance comparison shopping service.
- Response Indemnity Company of California (NAIC #10970)flagshipUnderwriting partner in California. Policies are offered and administered by Clearcover Insurance Agency, underwritten by Response Indemnity Company of California (NAIC #10970). CA License Number: 0L85599.
Scale indicators9 records
Recent moves9 records
Expansion highlights6 records
Clearcover competitors and assessment
Company assessmentOthers
- Goosehead Insurance: Adjacent partner: independent agency distribution platform with a bind-API integration to Clearcover; comparable in channel strategy and shared go-to-market via embedded insurance, though not a direct auto carrier competitor.
- Cover Genius: Adjacent enabler: embedded insurance platform-as-a-service for digital brands; comparable to Clearcover's Choice / Quoting API business in distributing insurance via partner brands, though operating as an enabler rather than a carrier.
Broad incumbents
- Allstate: Broad incumbent: national P&C carrier with its own digital transformation efforts and telematics (Drivewise) program; competes broadly with Clearcover in personal auto while operating a much larger agent network.
- GEICO: Broad incumbent: Berkshire Hathaway-owned direct auto insurer with massive national advertising scale and pricing power; primary competitive threat in the price-sensitive consumer segment Clearcover targets.
- Progressive: Broad incumbent: largest U.S. personal auto insurer by market share with deep telematics (Snapshot) and direct-to-consumer capabilities, setting the benchmark Clearcover competes against on price and digital UX.
Direct peers
- Root Insurance: Direct peer: digital-first personal auto insurer that uses telematics-based underwriting and a mobile app experience, targeting similar price-sensitive U.S. consumers with a comparable insurtech model.
- Lemonade: Direct peer in digital-native insurance with AI-driven underwriting and claims automation; recently expanded into auto via Metromile, competing for the same digital-first U.S. consumer.
- Branch Insurance: Direct peer: insurtech offering bundled home and auto with embedded and agent distribution, sharing Clearcover's API-first, multi-channel approach to personal lines.
Emerging players
- Next Insurance: Emerging player: digital-first insurtech focused on small commercial, sharing Clearcover's API-native platform philosophy and AI-driven underwriting approach though targeting a different customer segment.
- Hippo Insurance: Emerging player: digital-first homeowners insurtech with embedded distribution and AI-driven underwriting, comparable to Clearcover in technology orientation though concentrated in home rather than auto.
Market position
Strengths5 records
Weaknesses5 records
Competitive moat6 records
Key risks7 records
Key highlights7 records
Customer concentration
Clearcover social profiles
Digital presenceClearcover compliance and trust
Trust signalCompliance3 records
Clearcover financial estimates
Financial estimateRevenue estimate
Valuation estimate
Clearcover leadership team
Management profileNumber of profiles
Profiles8 records
Clearcover subsidiaries and ownership
Company hierarchySubsidiaries5 records
Clearcover funding detail
Funding detailFunding overview
Funding rounds11 records
Investors15 records
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
Clearcover M&A and investment
M&A and investmentM&A
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about Clearcover
What does Clearcover do?
Clearcover sells digital-first personal auto insurance directly to U.S. consumers through its website and mobile app, underwriting coverage in 18+ states via licensed carrier entities. Its offering combines traditional auto coverage (liability, collision, comprehensive, uninsured motorist, medical payments, alternate transportation, roadside assistance) with ClearAI-powered instant quoting and ClearClaims, which can pay eligible claims in as little as seven minutes. The company also distributes auto insurance through independent agents and via an embedded/white-label platform (Choice and a Quoting API) that lets partners offer branded Clearcover-backed policies.
Is Clearcover a public or private company?
Clearcover is a private company. It is classified as venture growth investor backed and is currently operating.
When was Clearcover founded?
Clearcover was founded in 2016. It employs 101 to 250 people.
Where is Clearcover based?
Clearcover is headquartered in Chicago, United States, in the North America region.
How does Clearcover make money?
Four revenue lines are on record. Auto insurance premiums (recurring policy premiums) is the primary driver. The others are embedded / white-label insurance commissions, agent channel commissions (MGA and reciprocal) and telematics-driven premium discounts and risk pricing.
Who are Clearcover's main competitors?
Others on record are Goosehead Insurance and Cover Genius. Broad incumbents are Allstate, GEICO and Progressive. Direct peers are Root Insurance, Lemonade and Branch Insurance. Emerging players are Next Insurance and Hippo Insurance.
Does Clearcover have an API?
Yes. Clearcover offers a Quoting API for embedded insurance distribution and a bind-API for partners, allowing licensees to integrate quoting, binding, policy management, and conversion metrics into their platforms. The Quoting API enables a co-branded landing page or single-line code integration that lets customers complete a quote with as few as three input fields and digitally bind on the spot. API access is offered to licensed insurance agents and partners (not consumer-facing). Developer documentation is at clearcover.com/embedded.
What industry is Clearcover in?
Clearcover's product category is Auto Insurance. Its primary akta.pro industry code is FSAJAAAA, Standard Personal Auto Insurance (Liability, Collision & Comprehensive), with a secondary code of FSAJAAAB, Usage-Based / Telematics Personal Auto Insurance. Its NAICS code is 524126 and its SIC code is 6399.