Greenlight Re Innovations Announces Investment in Audit Insurance Startup AuditCover

Greenlight Re Innovations (“GRI”), part of Greenlight Capital Re, Ltd, has announced an investment in AuditCover Australia Pty Limited (“AuditCover”), a tax audit insurtech.

Audit insurance is offered to businesses, individuals, and trusts to provide financial protection against professional fees incurred from a tax audit or investigation undertaken by authorized regulators. Today, obtaining an audit insurance policy is paper-based, labor-intensive, and slow. It is also a distraction for accountants, who have generally carried the burden of marketing the product and assisting with the payment and renewal processes.

AuditCover is uniquely structured as a tech-centric, end-to-end digital audit insurance platform that eliminates most of the friction experienced in the industry today. By connecting directly to accountants’ core systems, AuditCover can streamline the quote and bind process and provide instant coverage to taxpayers for audit-driven professional fees they incur. AuditCover also automates the marketing function for partners in accounting firms and helps them retain and strengthen their client relationships.

Simon Burton, Chief Executive Officer at Greenlight Re, said, “In many nations, growth in the gig economy and digital assets has caused increases in the complexity of tax returns and the frequency of tax audits. We believe that by leveraging advancements in technology, AuditCover is well-positioned to service this expanding market and provide a superior experience for all parties involved.”

Gil Snir, Founder and Chief Executive Officer at AuditCover, said, “We’re living in an era where the tax office has edged far ahead of the free market in terms of data-matching capabilities. AuditCover is on a mission to even the playing field by accessing the real-time data feeds that will determine greater risk accuracy and prevent the severity of an audit in the first instance. This is a global challenge faced by most developed nations and we’re excited to have strategic capital partners Greenlight Re on our journey. Their global footprint and innovative approach to reinsurance are well aligned with our vision for the company and the broader insurance landscape.”