Coalition

Coalition is a cyber MGA founded in 2017 by Joshua Motta and John Hering. It combines insurance distribution with proprietary attack-surface risk-scoring technology to automate underwriting for cyber policies in the United States, UK, Canada, and Australia.

Business footprint. Coalition raised $250 million in Series F in July 2022 at a $5 billion valuation. Cumulative funding across all rounds exceeds $800 million. In March 2022, Coalition's run-rate gross written premium reached nearly $775 million while serving over 160,000 customers. The company is licensed in all 50 U.S. states and DC and holds rate-quote-bind authority — no human underwriter approval required.

Capacity and partnerships. Coalition does not underwrite directly. Allianz, Swiss Re, Arch Insurance, Lloyd's syndicates, and Ascot Group provide capacity. In June 2022, Allianz entered a multi-year partnership to back all Coalition U.S. non-admitted cyber programs and lead the UK operation. This structural dependence on reinsurer relationships is the defining constraint of the MGA model.

Core product: Coalition Control + Active Insurance. Coalition's proprietary risk engine, Coalition Control, ingests public data, threat intelligence feeds, and its own historical loss and claims data to score attack-surface exposure — perimeter security hygiene, VPN configuration, email authentication, credential exposure, etc. The Active Cyber Policy ties underwriting and claims resolution to continuous risk monitoring. The underwriting system evaluates risk in real time without human submission review. Active policyholders experience claims frequency 73% below the cyber insurance industry average, and 64% of Coalition's closed claims are resolved at zero cost to the policyholder.

What it replaces. Coalition automates the legacy cyber underwriting workflow: manual submission review by underwriting staff, multi-week turnaround, limited visibility into applicant risk posture. The MGA sells through brokers; it replaces both in-house cyber teams at carriers and traditional cyber MGA workflows.

Market positioning and gaps. Coalition publishes annual Cyber Claims Reports and Cyber Threat Index data, positioning itself as a thought leader. However, it does not appear in publicly indexed Gartner, Forrester, or Celent leader quadrants for cyber insurance in 2023–2025. Recognition is concentrated in trade press (Insurance Journal, InsurTech Digital, Insurance Business). No named Fortune 500 policyholders or carriers are public. Coalition's claims data come from its own book only; independent validation of risk-scoring efficacy is limited.

Market headwinds. The cyber insurance market entered its first-ever premium decline in 2024 (−2.3% year-over-year direct written premium). However, claims severity rose 10% and frequency rose 13%, driving a market hardening cycle. S&P Global Ratings forecasts a 15–20% premium increase in 2026 due to persistent ransomware costs, AI-driven attacks, and infostealer credential theft surges. Coalition's revenue scales with written premium and capacity partner appetite. If hardening reduces volume or if partners reduce syndicated placements, growth stalls.