SecurityScorecard, a provider of security ratings, said it has completed a $50 million Series D financing round led by Riverwood Capital, bringing the company’s total funding to $110 million.
SecurityScorecard is a firm that rates the cybersecurity posture of web-enabled firms. It does not wait to be asked — and the result is a growing database of independent security ratings on the world’s web-enabled businesses. Currently, it continuously monitors more than 200,000 businesses and gives them a security score from A to F. Empirical evidence suggests it works: “Companies that rate as a D or F are 5.4 times more likely to be breached than companies that rate as an A or a B,” claims the company.
Rather than relying on subjective, manual self-assessments from the customer, “They’re going to be using the objective, automated, security metrics that we provide to make their insurance decisions,” Yampolskiy told SecurityWeek’s Kevin Townsend in June 2018. “They will feed that data into their algorithms and then decide, do I increase the premium because the customer’s security posture looks risky, do I lower the premium, or maybe in some cases do I just flat out refuse to provide the cyber insurance?”
The company says the additional funding will be used to “continue aggressively expanding its product suite and platform.”
Existing SecurityScorecard investors including Evolution Equity, Intel Capital, Two Sigma, AXA Ventures, Accomplice, and others participated in the round.
AXA, the world’s largest insurance company, announced in 2018 that it would use SecurityScorecard to have access to its ratings, and will use them to help set the premium for its insurance agreements.
Founded in 2013 and headquartered in New York City, SecurityScorecard’s previous funding rounds include a $12.5 in Series A funding led by Sequoia Capital in 2015; $20 million Series B in 2016; and $27.5 million Series C in 2017.