European cyber insurance startup Stoïk raises $10.7 million and expands to Germany

French startup Stoïk offers a cyber insurance product to small and medium companies — a bit like Coalition in the U.S. And things have been working well in France. So the company just announced that it plans to expand to Germany as its second country with Franziska Geier heading the team there.

The company also raised another $10.7 million (€10 million) to help with this market expansion. Munich Re Ventures, the corporate venture fund of the insurance giant, is leading the round with Opera Tech Ventures also participating. Existing investors Andreessen Horowitz and Alven are putting more money in the company as well.

Stoïk focuses specifically on SMEs as small companies are quite vulnerable when it comes to cyber attacks, such as ransomware. It provides a hotline that customers can contact whenever they are facing a cyber incident.

The company can compensate for loss of revenue (gross operating margin) during an incident. It can also provide third-party liability in case of a data breach claim.

There’s a bit of active monitoring as well as Stoïk monitors DNS records and scans online databases for password leaks associated with this domain name. Like Riot, Stoïk has also created a cybersecurity awareness program for employees with phishing simulations and tutorials.

So far, 2,000 companies have signed up to Stoïk. The company doesn’t sell its insurance product on its website anymore. Instead, it works with third-party insurance brokers. Around 1,500 brokers offer Soïk products to their clients.