US: Travel protection platform Faye has raised $50 million in Series C funding to support its international expansion, develop its AI capabilities and grow partnerships with travel companies.
The round was led by venture capital firm Madrona, with participation from BRM and existing investors Portage, F2 Venture Capital, Viola Ventures and Lumir Ventures.
It brought Faye’s total funding to $100 million. The company did not disclose its valuation, although sources cited by Skift valued the business at approximately $500 million.
Faye will use the investment to expand into new markets and establish further partnerships with online travel agencies, airlines, cruise companies and other travel brands.
The company also plans to increase the use of AI across its underwriting, customer assistance and claims processes. It expects the technology to resolve more than half of its claims autonomously by the end of 2026.
The funding will also support the development of the Faye Wallet, which enables travellers to receive approved insurance reimbursements through its mobile app.
Faye distributes its products directly to consumers and through embedded integrations with travel companies. Its platform provides partners with tools covering insurance distribution, customer servicing, claims and payments through APIs and its Faye Advisor Portal.
Co-founder and CEO Elad Schaffer said: “Over the past year, we’ve doubled our revenue and strengthened our position in AI-powered travel protection.
“This milestone represents our commitment to continuing that innovation, expanding globally and building the future of travel care for millions of travellers and partners worldwide.”
Madrona partner Chris Picardo has joined Faye’s board as part of the investment.
Founded in 2022, Faye offers travel insurance covering areas including medical emergencies, cancellations, baggage and delays. The company said it worked with approximately 1,200 distribution partners, which generated around 75 per cent of its revenue.
Highlights
- Faye has secured $50 million in Series C funding led by Madrona.
- The round has taken the travel protection company’s total funding to $100 million.
- The capital will support international growth and partnerships with OTAs, airlines and cruise companies.
- Faye expects AI to resolve more than half of its claims autonomously by the end of 2026.
- Madrona partner Chris Picardo has joined Faye’s board.