The funding round was led by Radical Ventures, with participation from a16z Speedrun. New investors include Brendan O’Driscoll and Larry James Erwin.

To date, the company has raised $8.4 million with backers including Radical Ventures, a16z Speedrun and Comma Capital, alongside operators such as Aidan Gomez and executives from Braze.

General Magic builds automated agents for insurance firms. These agents answer routine questions, collect documents and follow up with customers. They operate across the insurance lifecycle, from pre-quote checks to post-quote engagement and claims coordination.

The company says its technology connects directly to broker management systems, quoting platforms and customer relationship systems already in use.

In early deployments with one of the world’s largest general insurers, General Magic reduced quote times from around 30 minutes to less than three. The reduction was achieved through an SMS-based agent that handles clarification and follow-ups automatically.

“Too much of insurance still relies on manual follow-through across calls, inboxes, and scattered systems,” said Jai Mansukhani, co-founder and president of General Magic.

“We focus on keeping customers engaged at every stage of the lifecycle, not just at quote or claim. Our agents handle the routine work that slows teams down, while giving insurance leaders real visibility into what customers are asking, where they are getting stuck, and how they are feeling.

“When that engagement and data flow directly into core systems, teams move faster and customers feel genuinely supported.”

At the centre of the company’s innovation is a product called Cell. It connects to broker systems, rating platforms and CRMs. Teams can deploy it through SMS, iMessage and RCS.

Customers can send questions by text, while the agent pulls data from internal systems, requests missing details and updates records as the process moves forward.

The company is currently working with insurers across motor and life lines, where follow-up after issuing a quote usually determines whether a sale is completed.

General Magic was founded by Anthony Azrak and Jai Mansukhani. Both previously built and sold technology products into established industries, then moved into insurance after dealing with repeated delays and high premiums following a water leak claim.

The founders say the industry works, but customer experience sometimes breaks down during important moments such as quoting and claims.

Retention is also a challenge across the insurance sector. Acquiring new customers costs more than keeping existing ones. With more policies being sold digitally and customers comparing prices at renewal, firms risk losing business after investing time and money to secure it.

Sanjana Basu, partner at Radical Ventures, said: “Most of the world’s financial and insurance data is locked inside rigid, legacy systems that were never designed for the AI era. General Magic isn’t trying to convince enterprises to throw away that infrastructure. Instead, they are giving them a way to finally talk to it. 

“By building a reasoning layer that sits on top of existing systems of record, the General Magic team are unlocking a massive amount of trapped value. 

“This is how the Fortune 500 becomes AI-native. Not by rebuilding from scratch, but by bridging the gap between old data and new intelligence.”

Troy Kirwin, investment partner at a16z Speedrun, added: “We’ve watched Anthony and Jai grow exponentially both during their speedrun cohort and in the months after. They are building a truly compelling product that we believe will revolutionise workflows across insurance carriers and brokerages globally. 

“I have a personal thesis that outsiders will disrupt legacy industries, and General Magic has helped buttress this thesis with the immense progress they’ve made. We are excited to deepen our partnership through supporting their seed round.”

Pete Tessier, BFA, CAIB, president at insurance MGA Taycon Risk, said: “What I have seen with General Magic and their approach to AI was a willingness to adapt to the insurance industry’s needs.

This is significant because of the varied nuances of the insurance industry and how its products are distributed and why internal and external customer journeys are different.

“The challenge will be making it scale across all channels of insurance product distribution. This might be the first true ‘game changer’ for the industry and deliver on customer experience and expectations”

General Magic plans to expand into more insurance lines and workflows with a focus on high-intent moments where communication gaps cost brokers and insurers time and revenue.

The funding comes only six months after its $5 million seed round, pushing its total capital raised to $30 million.

At the heart of FurtherAI’s mission is a goal to put an end to the inefficiencies that have long burdened insurance professionals. For decades, underwriters, brokers, and claims handlers have relied on outdated systems and manual processes, spending hours sifting through spreadsheets, PDFs, and disconnected databases. 

FurtherAI wants to change that by automating workflows across underwriting, claims, and compliance, giving insurers the freedom to focus on risk management and client service rather than administrative tasks.

“Insurance is the backbone of the economy, but the people running it have been stuck with outdated tools,” said Aman Gour, co-founder and CEO of FurtherAI. “With this funding, we’re doubling down on building AI workflows that give underwriters, brokers, and claims teams superpowers — freeing them to focus on the work that truly matters.”

The Series A round, which also saw participation from Nexus Venture Partners and Y Combinator, reiterates the current interest in specialised technology in the insurance space. The company plans to use the new funds to expand its catalogue of insurance-specific workflows, strengthen integrations with major carriers and brokers, and scale its go-to-market efforts amid accelerating demand.

The insurance industry, estimated at $7 trillion globally, faces a convergence of challenges, from climate risk to regulatory pressures and a shortage of skilled professionals. Many insurers have attempted to deploy generic automation tools, only to find them inadequate for the industry’s complex documentation and compliance needs. 

FurtherAI provides what it calls an insurance-native workspace, designed to integrate seamlessly with existing systems while delivering precision and scalability.

Sashank Gondala, co-founder and CTO of FurtherAI, explained the company’s hands-on model: “We’re excited to partner with the insurance industry to unlock real value with AI — automating the busy work and opening new avenues of growth. With our forward-deployed engineering model, insurance teams work side-by-side with an AI engineer to ensure impact at scale.”

Already, the firm’s technology processes billions in premiums annually, powering submissions, policy comparisons, and compliance checks for major industry players such as Accelerant, MSI, and Leavitt Group. Early adopters report measurable improvements, including a 15% boost in submission-to-quote ratios, over 95% accuracy in policy comparisons, and up to tenfold faster proposal generation.

“The FurtherAI team has been a fantastic partner in rapidly standing up complex enterprise workflows,” said Venkat Raman, chief bizOps officer at Accelerant. Similarly, Laurie Flanagan of Leavitt Group noted, “Implementing FurtherAI has been game-changing — faster turnarounds, higher accuracy, and a platform we can keep expanding.”

For Andreessen Horowitz, the investment shows FurtherAI’s potential to boost the sector. “FurtherAI is redefining how insurance gets done,” said Joe Schmidt, Partner at a16z. “Aman and Sashank are technical founders whose customers see them as true AI partners, not just AI tools. Their early traction signals a generational opportunity to transform insurance.”

With this latest funding round, FurtherAI appears well-positioned to boost digital transformation in insurance, as efficiency and expertise finally go hand in hand.