June 8, 2023

Record turnover for virtual insurer Avantia following uplift in customer acquisition

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  • Turnover of £31.4m reported in 2022, representing 18% year-on-year growth
  • 26% increase in customers
  • Gross profit grew 14% to £24.1m
  • EBITDA (pre non-recurring items) grew by 11.3%

Avantia, the virtual insurer behind the Homeprotect brand, continued its track record of sustainable growth by increasing turnover by 18% in 2022, driven by significant growth in its customer base.

The firm’s annual report reveals an increase in turnover from £26.6m in 2021 to £31.4m in 2022, powered by a 26% increase in customers, driven by next-generation risk and retail pricing models, enhanced data pipelines and real time customer lifetime value-driven acquisition.

The results represent a continuation of sustained growth for the business, following a 20% increase in revenues from 2020 to 2021.

Mark Eastham, CEO at Avantia Group, said: “We continue to see significant opportunities to use the capabilities we have developed for the non-standard home insurance market to target the broader home insurance market. Having now completed the transfer of all our pricing capability on to our proprietary Cortex platform, we are accelerating our rate of innovation in this area. We also believe that the new pricing regulations are supporting these wider market ambitions as they remove the ability of the market to cross subsidise new business.

“Our work to position our brand and operating model for broader market expansion continues, with investment in the new members of the management team already making a big difference.

“We have also continued with our ambition to own more of the claims value chain, by contracting directly with our own supply chain. The combined pressures of high inflation and weather events in 2022 have only served to make this part of our strategy more compelling.”

Homeprotect specialises in buildings and contents insurance for a wide range of properties, including those which may struggle to secure policies with traditional providers, such as homes with a history of flooding, heritage and holiday homes.