Fabric, an insurtech company offering mobile-distributed life insurance, launched yesterday in 32 states.
The company is set up as a managing general agent for Vantis Life, which underwrites its accidental death and term life policies. Fabric says it can issue its accidental death policy, Fabric Instant, in as little as two minutes and with premiums starting at $6 per month on smartphone, tablet or desktop.
The initial policy is meant to be the accidental death coverage, with the ability to upgrade to Fabric Premium, a 20-year term life policy also underwritten by Vantis. The company was founded by Adam Erlebacher and Steven Surgnier, who are veterans of the fintech company Simple, which was bought by BBVA in 2014.
"Life insurance isn't something you think about or buy every day and the existing system is built to take advantage of your confusion," Erlebacher says about the motivation to launch Fabric. "You should be able to make a good choice by default. Life insurance is a fundamentally important product for new and expecting parents. It should be affordable, simple, and fast."