Jones Closes on $15M to Ease Insurance Compliance for Real Estate Startups

New York-based Jones, which promises to ease insurance compliance for real estate and construction firms, has closed a Series B funding round led by Radnor, Pa.-based NewSpring Capital, a growth equity firm managing $3.5 billion in capital.

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Major existing investors, including Rockville, Md.-based Camber Creek, Chicago-based Jones Lang LaSalle, New York’s Rudin Ventures and Philadelphia-based Ground Up Ventures, participated in the round. Other backers include Hetz Ventures, Khosla Ventures and DivcoWest Ventures. Jones has previously raised $20 million including a $12.5 million Series A round in 2021.

Israeli Roots

Founded by CEO Omri Stern and chief technology officer Michael Rudman, the startup with roots in Israel builds AI agents that help with insurance compliance, which is considered a “systemic problem” leading to a string of inefficiencies and costly errors. For example, commercial real estate tenants and property managers struggle to comply with rules that require them to create certificates of insurance (COI) for any vendor entering their property.

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“The insurance markets have been reeling from economic pressures and are one of the biggest challenges facing real estate and construction, whether it’s from headwinds in origination or the lack of digitization,” said Stern, an Israeli-born entrepreneur and alumnus of Harvard Business School. “We’re excited to be part of a cohort of maturing growth-stage AI and data companies that are partnering with the insurance industry to help clients make smarter decisions about insurance risk.”

Speed and Accuracy
Jones’ AI agents have been built from proprietary data including insurance logic, risk benchmarks, and millions of verified insurance documents. Stern told TechCrunch the company’s technology can process an insurance certificate in less than an hour and reduce the overall vendor approval time to 2.5 days — from 12 days — with 99.9% accuracy. Jones’ latest product release, Insurance Policy Verification, helps clients flag and interpret exclusionary language in insurance policies to mitigate costly payouts from third-party insurance claims.

“COI and insurance policy verification is a highly manual and error-prone process, making it ripe for disruption through automation,” said Marc Lederman, general partner at NewSpring Capital. “Jones AI solutions enable construction and real estate companies to scale their departments efficiently while mitigating legal and financial risks in today’s highly litigious environment. As compliance becomes more complex and regulatory demands rise, Jones has ample room for continued expansion.”

Jones’ software is used in over 25,000 U.S. real estate properties and construction projects spanning more than 2.5 billion square feet.