Cover Whale Insurance Solutions, Inc., a company specializing in technology-driven commercial auto insurance, has secured $40 million in equity financing from Morgan Stanley Expansion Capital. The funding is intended to support the company’s continued investments in its technology platform, analytics capabilities, and expansion of product offerings.
Founded in 2020, Cover Whale uses a proprietary platform that allows agents to quickly bind trucking insurance policies online. The company relies on real-time telematics and other data sources for continuous underwriting throughout policy terms. This approach has helped it achieve strong loss ratios within the commercial trucking insurance market.
Dan Abrahamsen, Founder and CEO of Cover Whale, commented on the investment: “After years of rapid growth, 2024 marked a pivotal year for Cover Whale as we focused on re-building our foundation. We invested in our technology platform, built a high-performing service organization, and refined our pricing, underwriting and loss control programs. Morgan Stanley Expansion Capital's transition from lender to equity partner is a gratifying affirmation of the tremendous progress made over the past few years, and their renewed backing gives us the resources to fully capitalize on the significant growth opportunities ahead.”
In the first half of 2025, Cover Whale reported $133 million in gross written premiums and expects to reach $277 million by year-end.
Morgan Stanley Expansion Capital initially invested in Cover Whale with structured debt in May 2024. Nick Nocito, Executive Director at Morgan Stanley Expansion Capital said: “Today’s growth equity investment reflects our conviction in Cover Whale’s business strategy, execution and leadership team. Over the last 18 months, the team has built a high-quality, scalable platform that we believe will generate significant growth in the coming years.”
Cover Whale operates as a managing general agent (MGA) and partners with nearly 5,000 agents nationwide. Since its inception it has written more than $1.3 billion in gross premium. The company uses automation and artificial intelligence for risk monitoring and driver coaching programs aimed at reducing losses and promoting safe driving practices.
Morgan Stanley Expansion Capital is part of Morgan Stanley Investment Management’s private investment division focused on late-stage growth equity and credit investments across sectors such as technology and healthcare. Over almost forty years it has completed investments in more than 220 companies by leveraging Morgan Stanley’s global network.
Morgan Stanley Investment Management employs over 1,400 professionals worldwide with $1.7 trillion under management or supervision as of June 30, 2025 (www.morganstanley.com/im). Its client base includes governments, institutions, corporations and individuals globally.