German insurance giant Munich Re agrees to acquire cyber insurance provider At-Bay for $575M; At-Bay has raised $276M and was last valued at $1.35B in 2021 (Meir Orbach/CTech)
The German insurance giant is buying the cyber insurtech at less than half its 2021 valuation, as insurers increasingly seek …
German insurance behemoth Munich Re reached a deal to acquire Israeli cyber insurance startup At-Bay for $575 million, signaling the industry's shift from merely paying for cyber losses to actively preventing them. Munich Re plans to close the acquisition in the first quarter of 2027, pending regulatory approvals and customary conditions.
At-Bay, which primarily serves small and medium-sized businesses in the United States, will join Munich Re's HSB business, an insurance venture with a focus on technology and cybersecurity. HSB has been a strategic partner of At-Bay since its inception in 2017, helping the company grow into one of the top ten cyber insurers in the U.S. At-Bay currently has $278 million in gross written premiums and employs around 280 people in the U.S. and Israel.
The acquisition comes after At-Bay's valuation plummeted from $1.35 billion in its 2021 funding round to the $575 million enterprise value of this deal. At-Bay has raised $276 million since its establishment in 2016 by Rotem Iram, Roman Itskovich, Etai Hochman, and Tilly Kalisky. Their innovative business model combines insurance with technology to identify and mitigate cyber risks, monitoring insured companies' cyber exposure throughout the policy term.
Munich Re aims to bolster its position in the evolving cyber insurance market by integrating insurance and continuously managed cybersecurity. At-Bay's CEO, Rotem Iram, emphasized that joining Munich Re will help close the cybersecurity protection gap for the 90% of businesses currently underserved.
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