Tractable secures $65M funding from SoftBank to leverage AI for car and property damage assessments

Tractable, a startup specializing in AI-powered computer vision for remote damage assessments in the insurance industry, has secured $65 million in a Series E funding round led by SoftBank Vision Fund 2. Insight Partners and Georgian, previous investors in Tractable, also participated in the funding. Tractable’s technology is used by insurance giants such as Aviva, Geico, and Admiral to process around $7 billion in claims annually. The company plans to use the latest funding to expand its existing business, invest in the Japanese market, and incorporate advanced AI capabilities for repairs, maintenance, and sales. Tractable is also eyeing the property appraisal market in Japan, which is experiencing significant growth due to natural disaster recovery efforts. The company intends to leverage breakthroughs in generative visual AI and large language models to enhance its AI capabilities. Tractable faces competition from other startups like Uveye, ProovStation, and Claims Genius, but its early adoption of AI and strong partnerships have positioned it as a leader in the space. With SoftBank’s involvement, Tractable aims to tap into Japan’s digital-first consumer base and further integrate its technology into vehicles and various stages of their lifecycle. The investment from SoftBank marks a departure from its recent VC activity and highlights its belief in the scalability and disruption potential of AI in different verticals. Tractable’s CEO, Alex Dalyac, acknowledged that the company remains unprofitable but stressed the importance of transitioning towards profitability amid changing market dynamics and low-interest rates. Tractable is committed to achieving profitability and has made significant progress toward its strategic goal. The company’s strong SaaS margins bring it closer to achieving EBITDA breakeven.