NFP launches tech fund, recruits exec

NFP Corp. plans to launch a new venture fund focused on strategic partnerships and investments in the emerging insurtech, fintech and HR tech arenas, the company said in a statement Thursday.

Shawn Ellis has joined NFP as managing director of venture and innovation and will oversee the fund’s development, investments and operations. He previously was with Chicago-based benefits consultant Zest Health and Chicago-based 7wire Ventures, an early-stage venture fund, the statement said.

The fund will be initially capitalized at $30 million, but NFP has the flexibility to go higher should it see the opportunity, a spokeswoman said in an email. Mr. Ellis and the venture and innovation unit will report to Mike Goldman, president and chief operating officer.

The fund’s launch coincides with the establishment of NFP’s innovation lab, which will support the fund through ongoing market research, the statement said.

“The insurance industry is undergoing a series of profound technological changes, particularly with intelligent automation and artificial intelligence technologies, which are used to better respond to customer needs, risk and compliance threats, and superior process efficiencies,” Mike Goldman, president and chief operating officer of NFP, said in the statement.

“Customers’ expectations of instant digital transactions are increasing,” Doug Hammond, chairman and CEO of NFP, said in the statement. “Our ability to assess the market, adapt to market changes and empower our clients to do the same is critical to sustaining our position as a leader in the next-generation insurance industry.”