SALT LAKE CITY, March 2, 2021 /PRNewswire/ -- Today, Mercato Partners' growth equity fund, Traverse announced a $20M investment in Beam Dental; a digital-first dental insurer that rewards its members for good dental hygiene. Headquartered in Columbus, Ohio, Beam simplifies the antiquated $75 billion dental insurance industry for members, brokers, and employers. Also participating in this round were Drive Capital, Georgian, Nationwide Ventures, Ainge Advisors, and Breakout Capital.
Founded by Alex Frommeyer, Alex Curry, and Dan Dykes, Beam provides dental, vision, and group life insurance in 41 states with 400,000 access points in all 50 states. The Company plans to use the proceeds from the round to extend its distribution system as well as the continued expansion of its technology platform and product offering.
"By using machine-learning and connected hardware, Beam is both disrupting and democratizing their part of the insurance industry," said Joe Kaiser, director at Mercato Partners who will join the Beam Board of Directors. "Alex Frommeyer has built a world-class team delivering world-class technology. Their absolute commitment to improving the experiences of members, brokers, and employers is changing the industry. We are proud to join Beam's journey and look forward to supporting their continued rapid growth."
Beam's digitally native platform makes dental insurance easier, smarter, and preventive. Everything, from quotes to claims, is fast and easy. Policy pricing is informed by machine learning, allowing brokers to get custom and more accurate quotes in as little as 30 seconds. The Beam Brush connected toothbrush allows members to earn lower rates and rewards based on dental hygiene behavior.
"Working with Mercato's Traverse Fund and Joe Kaiser highlights the advantage of dealing with an investor who understands the extraordinary benefits but also the challenges of building a hyper-growth tech company in the Midwest," said Alex Frommeyer, Beam CEO. "Mercato is a perfect partner for us as we continue to change the way members, employers and brokers think about their dental benefits and overall wellness."
About Beam Dental Beam Dental is a digital-first dental benefits provider that incorporates dental hygiene behavior into policy pricing, combining an easy-to-use online insurance platform, AI-powered underwriting, and the connected Beam Toothbrush for better overall wellness. Beam has raised over $160 million in venture capital funding and is the only digital-first company within the $75 billion dental insurance industry. Beam also offers vision insurance, powered by VSP, and group term life coverage for employers of all sizes in partnership with Nationwide Insurance. Beam is available in 41 states around the U.S. and is accepted at over 400,000 access points nationwide.
About Traverse Traverse is the growth fund of Mercato Partners, a multi-strategy investment firm that specializes in overlooked and underserved markets. Traverse leverages the breadth of its team's investing and entrepreneurial experience in these targeted geographies to provide both capital and operational guidance for rapidly scaling companies in the technology and branded consumer segments. For over a decade, Traverse has found, funded, and collaborated with high-growth companies to help them achieve transformative growth and long-term value for our investors. For more information, please visit traverse.mercatopartners.com.