Markus Hillebrand | COVR | Insurtech

COVR is a AI powered decision engine that helps insurers make better claims decisions in real time. Operating in markets including the UK, Spain, Japan and Australia, the firm claims it already partners with some of the world’s largest insurers. COVR is designed to enhance both the speed and accuracy of claims settlements by analysing complex and unstructured data at scale.

Co-Founder Markus Hillebrand was kind enough to share with me some insights about himself and the COVR journey.

COVR Co-Founder Markus Hillebrand

Why is insurance important to you?

While I didn’t set out to work in insurance, I developed a deep respect and eventually a real passion for the role it plays in society. Insurance is what keeps lives, businesses, and economies moving in times of crisis. But for all its importance, it’s an industry that has long struggled with complexity and outdated systems. With the advent of new technology, we now have a real opportunity and responsibility to modernise how it works. What drives me today is the chance to help insurers make better, faster, and fairer decisions that ultimately serve people when they need it most. That’s what COVR is here to do.

What gave you the idea for COVR? How did COVR begin?

Insurance is the invisible backbone of modern society, essential yet often misunderstood and increasingly mistrusted. We started COVR to help bridge that divide. Insurers have evolved from paper files to core systems, but those systems weren’t built to answer the complex, high-stakes questions policyholders have today. To truly meet their customers’ ever increasing expectations in a modern, technology driven world, insurers now need AI-powered decision-making tools that bring speed, accuracy, and clarity to the moments that matter most.

COVR was born from that realisation. As founders, we had spent years in insurance and insurtech and kept seeing the same friction points slow, manual decisions, fragmented data, and legacy tools that couldn’t keep up. We didn’t want to build just another platform; we wanted to create a focused, intelligent solution that solved real-world problems and restored confidence in the process.

From day one, our mission has been clear: to empower insurers to respond faster, act with confidence, and better serve the people and businesses they protect by providing data-driven decisions across the insurance lifecycle. We knew that if we could bring structure to fragmented data and embed intelligence into the decision-making process, we could create something both impactful and lasting. And that’s what we’re currently doing.

You have a very strong focus on being a global solution, why is that?

COVR was built with a global mindset from day one, and a big part of that comes from the perspective I gained living and working in different countries/cities, from Germany to Beijing, Hong Kong, Tokyo, London, and Bangkok. That exposure shaped a belief that talent isn’t confined to any one place. Great ideas, hard problems, and the people capable of solving them can be found anywhere, and with the right technology, the world is more connected, accessible, and collaborative than ever before.

That’s one of the reasons we called it COVR Global. We’re building an international business from day one, with a team that reflects the markets we serve and a mission that resonates across geographies.

Any key stats, data, reports, research you can provide to give flavour to the opportunity/problem?

Absolutely. At the core of the problem is one deceptively simple question: “Am I covered?” It’s a question that insurers face daily and yet answering it accurately, consistently, and quickly is far more difficult than it should be. Today, this decision still relies heavily on manual processes, fragmented data, and legacy infrastructure.

Imagine the devastation of losing the home where you raised your family and built memories, only to be met with uncertainty about whether your insurance will actually cover the loss. Despite having paid thousands of dollars in premiums, you're left waiting, unsure, and vulnerable. That’s the emotional and financial toll of slow, unclear decision-making, and it’s exactly the kind of experience COVR is built to eliminate.

The consequences are significant. Wrong decisions cost the global insurance industry an estimated $90 billion annually, impacting not just the bottom line, but also customer trust and retention. These inefficiencies aren’t just a technical challenge, they’re a threat to the existence of the industry.

Since 2019, claims costs have risen by over 35%, outpacing both inflation and GDP growth. At the same time, insurers are collectively spending more than $200 billion per year on technology, and yet the return on that investment has fallen short. Rising costs continue to be passed down to policyholders, threatening the affordability and in some cases, the sustainability of insurance itself.

Part of the issue is that the systems in place weren’t built to handle today’s challenges. Big tech platforms often bring monolithic architectures that are difficult to adapt and slow to scale. Data remains fragmented and underutilised, hampering real-time decision-making and delaying critical responses to policyholders.

This is exactly where COVR fits in. We bring a modular, AI-powered decision engine designed from the ground up for insurance, built to structure data, automate decisions, and work alongside or plug directly into existing systems. In a world where every second counts and every decision has financial and reputational consequences, we help insurers respond with speed, clarity, and confidence.

What does COVR do? Who is the solution for? What problem does it solve?

COVR provides an AI-powered decision engine built specifically for the insurance industry. We help insurers make smarter, faster, and fairer decisions in real time, allowing insurers to answer high-impact questions in real time, such as: Is this the right policy? Is this damage covered? Who is liable? Should we settle in cash? What’s the best next course of action?

Our solution supports the key decision-makers across the entire insurance lifecycle, from claims handlers and adjusters to MGAs, brokers, agents, reinsurers, and policyholders themselves. Whether it's assessing coverage, determining liability, or settling a claim, we help each stakeholder make faster, more accurate, and explainable decisions. In some cases, that means a policyholder receiving a claims outcome directly to their phone within two minutes of submitting, turning what used to be a multi-day process into an instant, seamless experience.

What is your elevator pitch?

COVR is pioneering a new category of AI-powered decision intelligence with a decision engine built specifically for insurance. We help insurers make real-time, high-impact decisions, like whether a claim is covered, who’s liable, or what the next best action is, without replacing their existing systems. Our modular, plug-and-play modules work alongside or integrate seamlessly with core workflows, reducing delays, cutting costs, and improving accuracy across insurance processes. We currently operate across the UK, Spain, Japan, and Australia and partner with some of the world’s largest insurers.

What is unique about COVR?

What sets COVR apart isn’t just the technology, it’s the team behind it. While we’re a startup, our team brings hundreds of years of combined experience in insurance and insurtech. We’ve worked with more than 200 insurers across the globe and understand the complexities of the industry from the inside out. That depth of domain knowledge allows us to build solutions that are not only innovative but deeply relevant and immediately applicable to the problems insurers face today.

Another key differentiator is the international DNA of our team. We come from different markets, Europe, Asia-Pacific, and beyond. We constantly draw from those diverse perspectives. That means we’re not just building for one country or one line of business. We’re applying insights across geographies and insurance verticals to design solutions that are smarter, more flexible, and globally scalable. It’s that blend of deep experience and global thinking that makes COVR uniquely positioned to serve insurers in a way few others can.

What have you learnt about raising capital?

Raising capital was a completely new experience for me, and a very different world compared to selling to insurers. For 6 months, I had to shift my focus almost entirely from clients to investors. At one point, most of my calendar was VC calls.

The process was relentless. After every call, I would revisit the pitch deck, refine the story, reframe the problem, sharpen the messaging. You hear everything from “this is one of the best startups we’ve seen” to “you look just like every other AI company.” It teaches you resilience. It also teaches you that not all investors are the same. At the end of the day, you want to work with partners who genuinely believe in your vision to make insurance work better, not just those chasing the latest trend.

What I learned most was to stay true to the mission. We knew the problem we were solving, we knew the depth of our industry, and we believed in the way we were approaching it. That conviction helped us cut through the noise and find the right partners who match our ambitions. Ending up with two world-class VCs who share our global vision was an important milestone we’re proud of.

What do you think Corporates can learn from early-stage businesses?

Having spent a good part of my career in large corporate environments, I’ve seen firsthand how different the pace, mindset, and priorities can be compared to early-stage startups. In a startup, there’s an urgency and clarity of purpose that drives everything. You’re building fast, often with limited resources, and you’re focused on solving real problems that matter to customers. There’s no space for politics or endless approval cycles, it’s about making things work, iterating quickly, and delivering tangible value.

One of the biggest lessons corporates can take from startups is this willingness to act, to build, test, and learn without over-engineering the process. Many of the most effective ideas I’ve seen in startups would never make it past the planning stage in a large organisation. Not because they weren’t valuable, but because they fell outside the risk appetite or didn’t fit neatly into an existing roadmap.

Startups have the freedom to challenge assumptions and explore use cases that corporates often overlook, even when there’s clear demand from clients. That mindset of staying close to the problem, moving quickly, and being unafraid to try something every large organisation could benefit from, especially in industries like insurance, where innovation can be difficult.

Where do Corporates need to improve in working with/supporting early-stage businesses?

One of the biggest challenges is communication, not in volume, but in clarity. For early-stage companies, time and focus are everything. Unlike large companies, startups are operating with limited resources and must be incredibly deliberate about where they place their bets. In insurance, where sales cycles can stretch over many months, even years, knowing where you stand in the process is critical.

What corporates often underestimate is the impact of uncertainty. When signals are vague or timelines keep shifting without transparency, it becomes hard for a startup to plan, allocate resources, or even stay in the game. Clearer communication about intent, priorities, and real timelines can go a long way. If there’s genuine interest, let us know. If it’s not the right time, that’s equally helpful.

We’ve been fortunate that the large insurers we work with share both our vision and our urgency. They understand the value of moving quickly, testing in production, and iterating based on real-world outcomes. That kind of alignment isn’t just refreshing, it’s essential to building solutions that actually make a difference.

Looking back, with what you know now, what would you have done differently?

Looking back, I’ve learned a lot about how the fundraising process actually works. People often say you should “run a process”, lining up all the right investors within a short 2–3 week window, doing back-to-back pitches, and driving momentum toward a term sheet. In theory, that’s great advice.

But when you’re new to fundraising, don’t have an established VC network, and are learning everything as you go, it’s much harder to execute that kind of tight, structured process. I spent months taking individual meetings, adjusting the pitch, refining the messaging and while that did help us sharpen the story, it was also slow and at times exhausting.

If I could do it again, I’d focus earlier on building a stronger investor network, understanding the mechanics of a proper fundraising timeline, and creating more urgency around the round. That said, every part of the journey taught me something and ultimately led us to the right partners who believe in what we’re building.

Where do you see COVR in ten years’ time?

In ten years, I see COVR as a globally recognised name, “the decision engine of insurance,” operating across every major market and line of business. Our ambition is to become the invisible infrastructure powering high-stakes decisions across the insurance lifecycle, not just as a tool, but as a backbone that underpins how the industry operates.

Insurance will always be essential, it’s one of the few industries that touches every part of modern life. But how decisions are made in insurance needs to evolve. I believe COVR will play a foundational role in that evolution, helping insurers make smarter, faster, and fairer decisions at scale.

On a personal level, I’d like to look back and say we built a company that left a lasting legacy, one that didn’t just create technology, but reshaped how an entire industry serves people. The goal is to build something meaningful that stands the test of time.

Biggest challenge you have faced so far?

One of the biggest challenges has been learning how to balance the intensity of building a company with personal well-being. As a founder, you feel the constant urge to stay engaged, always thinking about the next task or decision. It can be hard to justify switching off, even briefly.

It took me a while to realise that taking time off isn’t a luxury, it’s a necessity. Stepping away, even for a short time, benefits not just me, but everyone around me: my family, friends, coworkers, and even clients. I come back with more clarity, energy, and focus. It’s something I’ve had to learn over time, but it’s made me a better leader and helped create a more sustainable rhythm for the business.

Example of a good result with COVR?

One of the most rewarding milestones recently was seeing our decision engine process its first live claim for a top-tier global insurer. This wasn’t just a test or a POC, it was a real policyholder case, and it involved our property contents module for general household items like furniture, electronics, and kitchen appliances.

Traditionally, settling these kinds of claims takes days, if not weeks and often involves back-and-forth calls, manual inspections, and administrative delays. With COVR, the process was transformed. Through a simple, user-friendly web app, the policyholder submitted photos and documents, and our engine did the rest. It identified the item, verified the damage, detected potential fraud, assessed brand and model, and generated a fair settlement offer in under a minute.

More importantly, it sets a new precedent. Today’s policyholders are shaped by experiences in other industries. You order an Uber and get real-time updates or buy something on Amazon and receive it on the same day. That’s the level of responsiveness and transparency people now expect. With COVR, we enable insurers to meet and even exceed those expectations. It’s the kind of experience that delights customers, strengthens brand trust, and drives long-term retention.

What are the key disruptive forces you see facing the insurance industry?

AI is without a doubt the most transformative force in insurance right now. It gives insurers the ability to better understand the risks they underwrite, the customers they serve, and perhaps most importantly, how to settle claims quickly and fairly. That’s a game changer, especially in an industry where trust and timing is everything.

We’re also seeing the emergence of new risk categories, like cyber. These aren’t just technical issues, they’re complex evolving exposures that require new models, new data, and faster decision-making. Insurers that can respond dynamically to these risks will have a significant advantage.

Another major shift is the rise of embedded insurance. It allows coverage to be seamlessly integrated into digital journeys whether you’re booking a holiday, buying a gadget, or renting a car. It’s all about meeting the policyholder where they are and enabling frictionless, bite-sized protection that aligns with modern consumer behaviour.

What is your focus now? And for the next couple of years?

Our focus now is on scaling, delivering the modules we’ve committed to, deepening partnerships with insurers, and expanding our global footprint. We’ve proven that our decision engine delivers real value in production, and now it’s about helping more insurers adopt and scale these solutions across lines of business and geographies. What’s powerful about our model is that once a module is built, it doesn’t stop there, it scales. A single decision module can be used across different insurers, and often adapted across verticals like property, motor, health, or travel within the same insurer. Even geographically, we’re seeing modules developed in one market, like Australia, being adapted for use in others, such as Japan, with only minimal changes. That’s the kind of multiplier effect we’re building toward.

We’re also scaling our operations globally. After gaining strong traction in the UK, Spain, Japan, and Australia, our next focus markets are the U.S. and other countries in Europe. Both represent significant opportunities, not just in terms of market size, but in their appetite for digitisation and smarter infrastructure.

All of this depends on having a strong core, a solid architecture that allows us to scale with speed and consistency. So, while we’re moving fast, we’re also ensuring the foundations are strong enough to support long-term, global growth. Over the next few years, it’s about expanding our ecosystem, deepening client partnerships, and proving that modular, AI-driven decision-making can be the new standard in insurance.

What are the one or two lessons/principles/ you carry with you into everything you do?

Relentless focus on the customer. It really helps guide decisions and serves as a north star, especially in times when there’s noise and hype everywhere. When we focus on customer delivery and success, we get motivated to go the extra mile.

Where do you see yourself in 10 years time?

Hopefully in a space where we can look back and say we built something that truly mattered, something that brought lasting value to the insurance industry and continues to serve the people and societies that depend on it.

Insurance is one of the most important yet least understood industries. If in 10 years COVR has helped reshape how decisions are made, then that, to me, would be a meaningful achievement. It’s not just about building a successful company; it’s about leaving behind something that continues to improve the way this essential industry operates long after we started.

How do you balance your personal time and your ‘work’ time?

Balance doesn’t mean equal hours, it means being intentional about what truly matters. Over time, I’ve come to realise that time with family isn’t something you can postpone and catch up on later. So that’s become a daily priority.

The same goes for personal development and well-being. Whether it’s training, learning, or simply spending time with friends, making space for those things is essential not just for health, but for clarity and perspective. Leading a startup can be all-consuming, but taking care of the personal side ultimately makes you a better leader, colleague, and decision-maker.

Outside of work, I train Muay Thai, it’s a way to reset from the intensity of startup life, and it keeps me strong, focused, and competitive. Traits that, in many ways, are just as useful in the ring as they are in building a company.