London-based insurtech pioneer Laka has secured $10.4 million in Series B funding to accelerate its path to profitability and cement its position as Europe’s leading green mobility insurer. The round was co-led by sustainability-focused fund Shift4Good and MS&AD Ventures, with participation from Ponooc, Achmea Innovation Fund, and Motive Partners.

Laka’s success is its collective-driven insurance model. A radical departure from traditional practices. Customers pay only for the previous month’s actual claims, shared across its rider community and capped at a guaranteed maximum. This eliminates inflated premiums, long contracts, and opaque fine print. Critically, Laka earns a "success fee" solely when claims are settled, aligning its interests with policyholders. The approach has won it "Best Cycle Insurance Provider" for seven consecutive years.

The funding fuels Laka’s aggressive expansion across nine EU markets and the UK. Having evolved from a cycle insurer into a multi-vertical mobility platform, the company has executed three strategic acquisitions in 18 months: absorbing Luko’s e-scooter portfolio (2025), CoverCloud’s UK bike insurance rights (2024), and French e-bike broker Cylantro (2023). These moves deepen its foothold in micromobility’s fastest-growing segments.

Beyond insurance, Laka now offers verticalized ecosystem services:

• Stolen vehicle recovery and replacements
• Sustainable parts recycling to reduce waste
• B2B2C partnerships with Decathlon, Brompton, and Riese & Müller, embedding itself in the green mobility value chain.

The timing is strategic. McKinsey projects Europe’s micromobility market will surge from $60 billion (2022) to $140 billion by 2030,  yet insurance remains highly fragmented. "This financing marks a pivotal moment," said CEO Tobias Taupitz, noting it will "deepen trust across Europe, expand our category-defining role, and pursue acquisitions that consolidate this fragmented market while building toward profitability."

Investors emphasized Laka’s unique positioning. Shift4Good’s Matthieu de Chanville stated: "Laka aligns riders, retailers, and insurers to tackle fragmentation head-on." MS&AD Ventures’ Jack Toyama added: "Their collective model benefits both riders and businesses amid rapid market evolution."

With an extension round planned for late 2025 and a major debt deal nearing completion, Laka’s consolidation play is charging forward.