Lassie raises €23M to expand pet care innovation in Europe

Lassie, the Stockholm-based pet insurance startup, has raised €23 million in the latest funding round led by Balderton Capital. The company will use the funding to expand its international reach in Europe and enhance its ecosystem offerings by leveraging generative AI.

Traditional pet insurance focuses on covering the costs of veterinary care after a pet becomes sick or injured. Lassie takes a proactive approach, emphasising preventive measures to reduce the likelihood of health issues in the first place. The approach benefits pets and helps owners avoid costly vet bills.

Lassie co-founder and CEO Hedda Båverud Olsson expressed the importance of pets and how the owners want to ensure that these pets have a long and happy life. The company aims to empower pet owners with comprehensive resources to provide the care their pets deserve. It also offers tailored insurance to safeguard against unforeseen circumstances.

“We’re proud of everything we’ve achieved so far but we know there is still much more work to be done and we’re delighted to have the support of Balderton, to help us as we grow further,” Olsson said.

Lassie has already achieved significant success in Sweden and Germany. It now serves over 60,000 customers, covering over 400 dog and 200 cat breeds. The latest funding round has brought a total of €36.5 million to the startup, with existing investors from Felix Capital, Inventure, Passion Capital and Philian.

Progressive pet care

Pet insurance has traditionally been an outdated industry, with owners paying monthly premiums to cover the potential for expensive veterinary bills. However, the bureaucratic claims process and rising premiums have left many customers frustrated and seeking better solutions.

Launched in 2020, Lassie distinguishes itself from traditional pet insurance providers by prioritizing preventive care. The launch coincides with a surge in pet ownership across Europe during the COVID-19 pandemic. Data from the European Pet Food Industry Federation (FEDIAF) show that 46 percent of European households owned a pet in 2022.

Compared to the 2019 spending of €19.7 billion, European households spent €24.5 billion annually in 2022 for pet-related services and products. These may range from specialised pet food to accessories and insurance to ensure their beloved companions live long and healthy lives.

Beyond pet insurance, Leslie also provides online courses in its app that provide valuable guidance on various aspects of pet ownership. Owners may access videos and articles on appropriate foods and how to reduce stress, train new puppies or kittens, and engage in accessible exercises.

After completing the courses, owners may receive rewards every insurance year, including lower premiums (between €25 to €50 cheaper a year) and points that can be spent in Lassie’s in-app store.