Vouch has invested in Capsule. Credit: Igal Ness on Unsplash.

US-based business insurance provider Vouch and UK’s specialist insurer Capsule have partnered to cater to each other’s clients across the globe.

The alliance will concentrate on startups and tech innovators across all important markets to assist them in protecting themselves as they expand.

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Vouch has made an undisclosed investment in Capsule as part of the agreement. Capsule will help Vouch’s US venture and incubator partners with their UK portfolio firms.

Capsule, which was launched in September 2021, will use the funding to enhance its technology and hiring.

The UK-based Capsule specialises in offering insurance for businesses from the seed stage through to IPO.

With more than $160m in funding to date, Vouch offers fully digital, bespoke insurance solutions to startups.

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Vouch CEO Sam Hodges said: “Our partnership with Capsule represents an important first step in our plan to provide holistic international risk management solutions, so our clients can protect their global operations with the same ease and confidence they experience with us today.”

Capsule co-founder and CEO Thomas Wynne said: “The hyper-growth startups we support have global aspirations. Yet even the most sophisticated teams face a steep learning curve when scaling their risk management programs internationally. Our partnership with Vouch enables us to solve insurance holistically across markets and unlock further growth.”

In September 2021, Vouch raised $90m in funding and launched an authorised insurance carrier.

It counts Redpoint Ventures, Silicon Valley Bank Capital, Ribbit Capital, Allegis Group, Sound Ventures, and SiriusPoint as its investors.