You save months to go on a nice vacation, and then you’re stuck in your Airbnb for nine days, hoping that the umbrella on your drink will help against the rain that falls from the sky. Sound familiar disappointing and disappointingly familiar? Sensible Weather just raised $12 million to build a product to save the day, under the tagline “Sunshine, Gurananteed.”
The product is quite neat; you pay for his insurance, and if the snow is too watery, your outdoor concert is washed away, or your dreams of escaping drinking pina coladas while getting caught in the rain are crushed, they have your back. (The company wouldn’t confirm whether it would pay out when the sun shines if you’d rather be caught in the rain.)
“With Weather Guarantee rates close to 50% in early partner channels, we’re about 5x higher than traditional travel insurance,” said Nick Cavanaugh, founder and CEO of Sensible Weather. “We are doubling our investment in this new embedded fintech service to accelerate our goals of generating additional revenue for partners and improving the destination experience for travelers. With climate increasingly impacting vacations and outdoor experiences, Sensible’s Weather Guarantees offers consumers peace of mind when booking reservations online by giving them the opportunity to recoup their experience losses when bad weather gets in the way of planning.”
Since its launch early this year, Sensible has sold thousands of weather guarantees through its growing list of hospitality and outdoor recreation partners. Consumers purchase Weather Guarantee protection when booking ticketed travel reservations and attractions online, and if a weather event, such as rain, is predicted during the covered experience, Sensible will automatically send a refund. Guarantee payments are processed immediately, based on the number of hours the experience is adversely affected by the weather.
The new capital will enable Sensible to grow its deep pool of top technical and scientific talent, accelerate the development of its proprietary climate data and risk analysis platform and expand its weather guarantee offering into international markets.
The round was led by San Francisco-based Infinity Ventures, with participation from Certares Ventures, existing investors Wonder Ventures and Group1001, as well as executives from hospitality and fintech pioneers Airbnb, Pacaso, Plaid and Toast.