OUR NEXT GUEST TRUCKING
INSURANCE, THE COFFEE LABS
ANNOUNCING TODAY THAT ITS RAYS
4 AND A HALF MILLION DOLLARS IN
VENTURE FINANCING IN 2 ROUNDS
OF SEED FUNDING LED BY AND THEN
THIS GROUP AND LAIR HIPPO
VENTURES AND JOINING ME NOW FOR
MORE ON THIS ANNOUNCEMENT OF
THE CO-FOUNDERS OF COFFEE LABS
AND WHITE AND
MIKE DORFMAN AND THANK YOU BOTH
FOR BEING WITH ME TODAY IN
WE'LL START WITH YOU EXPLAIN
FOR OUR VIEWERS, WHAT EXACTLY
YOUR COMPANY DOES.
>> YEAH WE ARE A MODERN DAY
TRUCKING INSURANCE REASON
THAT'S IMPORTANT IS THAT THE
INCUMBENTS DON'T REALLY HAVE
MUCH OF
AN APPROACH TO WHAT EXISTS IN
2021 IN TERMS OF TECHNOLOGY
INDUSTRIES REALLY BEEN IN DIRE
STRAITS TO THE PAST 10 OR SO
YEARS RATES HAVE
GONE UP CONSISTENTLY INDUSTRY
KEEPS LOSING
MONEY SO COFFEE IS HERE TO
REALLY GO INTO WHAT WE KNOW
WHAT WE CALL SATAN'S PAID TO
SOLVE AND MAKE IT POSSIBLE AND
PROVIDE INSURANCE ACTUALLY TRY
SUFFICIENTLY FOR A SMALL TO
MEDIUM SIZE MURDER
BARRIERS THAT HAVE SAFETY AS
TOP OF MIND RIGHT NOW BY AN OLD
TRUCK REAR-ENDED A TRUCK YOUR
INSURANCE COMPANY SECURITY
CHARGE OF THE EXACT SAME.
>> SO MIKE I WANT TO BRING YOU
IN HERE AS WELL AS WE COVER A
LOT HERE ON CHEDDAR THEIR
INNOVATION IN THE TRACKING
SPACE. I MOST NOTABLY
SELF-DRIVING TRUCKS WITH
COMPANIES LIKE RIVIAN ENTERING
THIS MARKET.
HOW DOES THIS WORK OUT WITH THE
INNOVATIONS THAT WE SEE IN
TRUCKING.
>> YES OR SO SO IT'S THE
END SAID THAT RIGHT THE PRICE
OF YOUR YOUR YOUR INSURANCE
REALLY HAS NOTHING TO DO WITH
THE TECHNOLOGY. THAT'S ON BOARD
OR TRUCK. SO WHAT WE LOOK AT A
COFFEE OR ALL SORTS OF GRANULAR
FEATURES AROUND THE VEHICLES
THEMSELVES THAT HAS TO DO WITH
THE HISTORY OF THE TRUCKS.
HOW AND WHEN THEY'VE BEEN
OPERATED THEIR PRIOR CRASH
HISTORIES AND WHAT SORT OF
TECHNOLOGY IS
ON BOARD. SO AS WE MOVE INTO
THE TECHNOLOGY IS GOING TO
PLAY MORE MORE AND MORE OF A
ROLE IN IN DETERMINING THE RISK
OF A PARTICULAR FLEET OR
INDIVIDUAL TRUCK. WHICH MEANS
THAT THE HUMAN DRIVERS ARE
PLAYING LESS AND LESS OF SO
CRITICALLY IMPORTANT AS WE AS
WE LOOK TO TO NEW ORLEANS WITH
ADVANCED SAFETY TECHNOLOGY THAT
WE UNDERSTAND.
HOW THAT TECHNOLOGY IS ACTUALLY
IMPACTING THE REST OF THE
TRUCKS.
>> AT 4 AND A HALF MILLION
DOLLARS AND HOW ARE YOU GOING
TO DEPLOY THIS MONEY TO EXPAND
THE BUSINESS.
>> YES, SO WE YOU KNOW THE
FUNNY THEY'VE ACTUALLY RAISE
INTO IT. SOME TIME AGO IT'S
GOING TOWARDS A PRODUCT
DEVELOPMENT HIRING BUILDING OUR
TECHNOLOGY PLATFORM.
>> HOW IS THAT GOING TO
PAN OUT HOW MANY ON ENGINEERS
FOR INSTANCE ARE YOU LOOKING TO
BRING ON TO BUILD OUT THAT
PLATFORM.
>> YES WE'VE BEEN DOING IT FOR
FOR SOME TIME NOW SO WE'VE GOT
A GREAT TEAM.
SO FAR. DATA SCIENTISTS TO COME
FROM THE FINANCE INDUSTRY WHICH
IS INTERESTING TO
NOTE BECAUSE INSURANCE FOR ALL
THE DATA SCIENCE SINCE IT'S
GOING NOW SAYS LOOK THE RISK IS
RELATIVELY UNSOPHISTICATED
IN FINANCE OR CERTAIN CONTENT
TO YOUR PART AND PARCEL AND
ANDERSON ACTUALLY TABLE STATES
BUT HAVE BEEN TRANSLATED INTO
INSURANCE. SO A LOT OF REALLY
INTERESTING WORK WE CAN
LEVERAGE. THROUGH OUR DESIGN
APPROACH WHICH ARE FROM THE
FINANCE INDUSTRY SOFTWARE
ENGINEERING JOBS, A KEY AS WELL
AND OUR CORE WE'RE BUILDING
A REALLY ROBUST DATA SCIENCE
PLATFORM THAT ALLOWS US TO
MODEL SELECT IN PRICE RISK
BECAUSE AT THE END OF THE DAY
THAT'S WHEN INSURANCE IS KEY TO
DO TO GET A SMALL TEAM NOW LOT
A COUPLE MORE OF THE NEXT 4 TO
6 MONTHS.
>> MIKE WHAT ARE THE RISKS THAT
ARE ASSOCIATED WITH THIS
THAT COULD OBVIOUSLY AT BE AN
ISSUE FOR INSURANCE COMPANIES
DOWN THE ROAD IF THEY DO COME
TO FRUITION.
>> YES SIR SAID SO THE
INDUSTRY TODAY HAS BEEN LOSING
FOR THE PAST DECADE OR SO
TRACKING HAS BEEN HISTORICALLY
KIND OF ONE OF THE RISKIEST
LINES OF INSURANCE THAT YOU
CAN WRITE AND THAT'S WHY SOME
OF THESE SMALL AND MEDIUM SIZE
WAVES ARE PAYING SO
MUCH MONEY OR THEIR INSURANCE
IT'S TYPICALLY THERE ARE 3RD
LARGEST EXPENSE AFTER FUEL AND
LABOR AT THIS POINT.
SO YOU KNOW OBVIOUSLY CRASHES
EVEN WITH THE BEST
THE 3RD YOU'RE PRONE TO HAVE AN
AT NO FAULT OF ANYONE IS SO YOU
KNOW IF THAT'S THE CASE, THE
MAN CLAIMS HAVE TO BE PAID OUT.
>> AND DURING THIS PANDEMIC HAS
THIS BEEN A HARD PITCH TO
INVESTORS ARE NOT SO MUCH.
>> I WILL LEAVE RAISER LAST
FROM THE FINANCIAL GOOD SUMMER
AND THAT WAS I THINK THERE'S A
BIT OF A PAUSE ON EARLY-STAGE
INVESTMENT FROM MARCH THROUGH
MAY TO REALLY CAN'T PICK UP
THAT WE HAD PROBABLY DOUBLE THE
AMOUNT OF MEETINGS AND HAVE
THE TIME WHICH WAS A REAL SHOCK
FOR US IT WAS THOROUGHLY
EXHAUSTING BUT AT THAT POINT
INVESTORS REALLY OUGHT NOT
BOARD YES. THIS IS THE NEW WAY
TO TO RAISE FUNDS AND TO WORK
SAID TO GET IT DONE IN A REALLY
REALLY