Milestone Partners Capitalizes Specialty Auto Insurance Holding Company

Milestone Partners is pleased to announce the formation of specialty auto insurance holding company Drive Assurance and the related acquisition of GoAutoand its technology platform. Adaptive Information Technologies. GoAuto, a vertically integrated tech-focused personal auto insurance platform, offers low-limit policies through its managing general agents and insurance carrier subsidiaries. Founded in 2009, GoAuto distributes policies direct-to-consumer online and through 70 captive storefronts, and leveraging AIT’s proprietary data analytics and underwriting technology, has historically demonstrated lower loss ratios and higher margins than its industry peers. GoAuto’s insurance carrier’s dedicated balance sheet capacity allows greater value chain capture augmented by reinsurance relationships that enable an asset light model and mitigate retained risk. GoAuto’s specialty market segment is growing, highly fragmented and estimated to be over 22% of $260 billionPersonal auto insurance premiums total. GoAuto is third-largest personal insurance provider in the country. Louisiana with growing operations in Texas, Nevada and Ohio. Milestone plans to implement Environmental, SocialAnd Governance and Diversity, Equity and Inclusion policies at GoAuto. Adam CurtinMilestone Partner, Judith, stated: “GoAuto’s proprietary software enables superior customer analytics and data-driven operations that have established them as a market leader. We look forward to working with the management team on executing their strategic initiatives.” Greg TramontinGoAuto CEO and Founder said: “We are excited to partner with Milestone during this next stage of growth. Given their targeted sector focus on financial technology companies and robust experience in automotive financial services, we are confident that together we will continue to provide best-in-class vehicle protection products and customer service to our valued policyholders.” Summit Partners Credit Advisors, Everberg Capital and LBC Credit Partners provided senior credit facilities to Drive Assurance. Piper Sandler & Co. and Butler Snow acted as financial advisor and legal advisor to GoAuto, respectively. Troutman Pepper LLP acted for Milestone and Drive Assurance as their legal advisors.