Parametric specialist Adaptive eyes specialty product growth following $5m funding

Adaptive Insurance, a climate resilience company and parametric start-up, has successfully secured an additional $5 million in financing from new and existing investors, which will be used to accelerate Adaptive’s development and distribution of specialty products designed to address the growing risks related to climate and weather events.

The latest round, which brings Adaptive’s total funding to $10 million, includes participation from a number of new investors, including IAG Firemark Ventures, Sunna Ventures, Room & Pillar, and Connecticut Innovations, alongside existing backers Congruent Ventures, Seraphim Space, and private stakeholders.

The recent investment will reportedly support Adaptive’s momentum to expand its specialty product portfolio, grow its agent and partner distribution network, and continue development of its proprietary climate intelligence platform.

This latest funding round addresses large global protection gaps, which saw $181 billion in uncovered losses in 2024 according to data from reinsurer Swiss Re, and $115 billion in direct climate-related losses in 2025, according to Climate Central.

In addition, the Federal Emergency Management Agency (FEMA) cancelled $600 million in Flood Mitigation Assistance grants across 36 states last year.

Mike Gulla, CEO and Co-Founder of Adaptive Insurance, commented: “Businesses and homeowners today face risks from multiple directions at once. We’re seeing coverage gaps where standard policies fall short. Product gaps where entirely new risks have outpaced what traditional insurance was built to address. And infrastructure gaps created by climate volatility, shifting populations, and shrinking public resources.

“Specialty insurance products have a critical role to play because they allow customers to build resilience, recover faster, and maintain continuity against increasingly unpredictable disruptions. This funding allows us to continue expanding development and distribution of our suite of products and the technology that supports them.”

Adaptive Insurance launched in 2024 as a tech-focused parametric insurance platform, with an initial power outage focused GridProtect parametric product designed to fill gaps in traditional insurance coverage.

In 2025, Adaptive entered into a partnership with Whisker Labs to deliver parametric power outage insurance using real-time grid data, to deliver protection faster when power failures and outages occur.

The company has continued to expand its product suite with a wind/hail deductible buy-back solution to help residential and commercial clients reduce out-of-pocket deductible exposure, along with a flood product that provides greater protection and flexibility than the NFIP policy.

As well as this, Adaptive also offers equipment breakdown coverage to commercial clients and powers Tokio Marine HCC’s Restaurant Recovery through its proprietary tech platform.

Adaptive also noted that any future products it plans to launch will continue to focus on technology-driven specialty solutions that fill gaps and help build resilience against emerging climate risks.

“What has impressed us most is Adaptive’s ability to move from identifying a market need to launching products that deliver tangible value for customers. The team has demonstrated strong execution, deep insurance expertise and a clear understanding of how climate and infrastructure risks are reshaping protection needs. We are excited to deepen our support as Adaptive enters its next phase of growth,” commented ,” said Kevin Kopczynski, Congruent Ventures.

Alex Guyer, at IAG Firemark Ventures, added: “Consumers and businesses increasingly need insurance solutions that can adapt to risks that are evolving faster than traditional products were designed to address. We believe Adaptive’s team is building the type of technology-enabled specialty insurance platform that will play an important role in the future of resilience and risk management.”

As climate and weather risks continue to evolve faster than conventional coverage can adapt, Adaptive Insurance states that it sees a “significant opportunity” to bring in new forms of coverage to the shifting reality that consumers now face.