CarbonPool bags €11.2M to build world’s first insurance company with carbon credit balance sheet

Zurich-based CarbonPool, set to be the world’s first insurance company with a carbon credit balance sheet, has closed a CHF 10.5M (approximately €11.24M) in a seed round of funding.

The funding round was jointly led by Heartcore Capital and Vorwerk Ventures. Participants also included HCS Capital, Revent Ventures, and notable figures such as former Allianz management board members Axel Theis and Christof Mascher.

Christian Jepsen, a founding partner at Heartcore says, “Insurance represents 5-10 per cent of the revenue of most mature markets, yet it has only just begun to touch carbon trading. This is a space that desperately needs the credibility that established financial controls like insurance can offer.”

“We are excited to be backing a world-class team of climate scientists, carbon specialists and most uniquely, insurance experts with a combined 60 years of experience in global underwriting. I’m confident they will bring much-needed professionalisation to this sector.”

What does CarbonPool offer?

Founded by former Allianz executives Coenraad Vrolijk, Nandini Wilcke and Frederic Olbert, CarbonPool aims to accelerate investment in carbon credits, which are crucial to achieving net zero, by providing carbon credit insurance with claims payments made in-kind.

According to CarbonPool, almost half of the world’s top 2,000 companies aim for net zero emissions by 2030, in line with the Paris Agreement’s 2050 goal. Reliant on carbon credits, with market turbulence, highlights the need for credit integrity and solid risk underwriting to assure stakeholders of genuine environmental progress.

Coenraad Vrolijk, former regional CEO of Allianz Africa and CarbonPool’s co-founder, says, “CarbonPool’s in-kind payments make it unique among insurers in not only offering protection to holders of carbon credits in cases of natural disaster or technology breakdown but also in providing a guarantee that carbon credits live up to their promises, giving purchasers certainty and ensuring that they can meet their net zero goals.”

CarbonPool is actively pursuing an insurance license in Switzerland and offering assessments to clients, including corporations and investors. 

Engaging with government bodies like the United Nations and the State of California, the company aims to address industry challenges, particularly the permanence of carbon removals, through insurance solutions.

Brief about the investors

Vorwerk Ventures is a €150M VC fund dedicated to sustainable business models with a positive impact. Primarily focused on consumer-facing digital businesses, it also invests in select B2B companies matching its sector expertise.

Heartcore Capital is a versatile VC fund with a cumulative committed capital of nearly €770M. Operating across Europe with offices in Copenhagen, Stockholm, Berlin, and Paris, the fund has a diverse portfolio, including early-stage, growth opportunity, and web3 funds. 

Heartcore has backed over 100 founding teams, supporting major European companies like Tink, Neo4j, Boozt, Seriously, and TravelPerk.

HCS Capital is an investment fund specialising in Insurtech, Fintech, and Cybersecurity. With a focus on North America, Latin America, and Israel, the fund not only provides financial backing but also creates an ecosystem for startups, offering strategic and technological support.

Revent is a €60M early-stage VC fund investing in mission-driven founders across Europe. Focused on step-change technologies and financial/data infrastructure, it aims to support market transformation in climate, healthcare, and economic empowerment.