Faye co-founders Elad Schaffer (left) and Daniel Green
Faye, an AI-powered platform for travel insurance, said it has raised $50 million in Series C funding led by Seattle, Wash.-based Madrona Venture Group. Other investors include BRM and existing investors Portage, F2 Venture Capital, Viola Ventures and Lumir Ventures.
Founded in 2022, Faye is incorporated in Delaware and has its U.S. headquarters in Richmond, Va. The Tel Aviv-headquartered company, which also has an office in New York, has raised $100 million to date. Faye said it would use the new capital for growth.
Over the past year, Faye has doubled revenues, opened its U.S. headquarters, and its app was featured as a Time Best Invention, according to co-founder and CEO Elad Schaffer, who previously co-founded and helmed the crowdsourcing platform Wikistrat. Daniel Green, Faye’s chief technology officer, has been Schaffer’s co-founder in both ventures.
“Faye was born during the pandemic, and in part because of the pandemic. We realized travel is no longer a luxury, but part of our wellbeing and sense of self,” Faye’s founders wrote in an article in 2023. “We also understood just how complicated and anxiety-filled it can be. And though many said we were crazy to build a travel startup at a time of zero foreseeable travel, we kept going.”
Faye’s U.S. headquarters is a 6,100-square-foot place in Richmond’s West End, in Henrico County. The company’s ties to Virginia date farther back to 2022 launch when it hired Jeff Rolander—named one of Virginia’s “100 People to Meet, Innovators”— as vice president of Customer Experience & Claims. Rolander previously held a similar leadership role at Allianz Partners USA.
“Richmond has long been an insurance hub, and we’ve been fortunate to attract exceptional talent from across the industry,” Rolander said when the company opened its U.S. headquarters. “What draws experienced professionals to Faye is our mission to power the freedom to roam confidently by coupling smart tech with a deeply human approach.”
Faye provides insurance coverage for travelers’ flights, hotels, health (including pre-existing conditions), luggage, and even their pets. It also runs Faye Wallet, its digital card in which travelers can receive reimbursements for travel inconveniences. The wallet can be added to Apple or Google wallets.
Founded in 1995 with a Series A investment in Amazon, Madrona invests across technology with a focus on applied AI and infrastructure. It has been an early investor in companies such as Snowflake, UiPath, Smartsheet, Rover, Redfin, Runway, Statsig, Unstructured and Apptio. In addition to its headquarters in Seattle, Madrona has offices in Palo Alto, Calif.
