Stitch Secures $3M Funding to Launch Insurance-First Agentic AI Platform
Stitch, an AI platform built specifically for the insurance industry, has raised $3 million in a Seed funding round led by ManchesterStory and BrokerTech Fund. This investment will accelerate Stitch’s go-to-market efforts and enhance its insurance-focused AI capabilities.
ManchesterStory, a venture capital firm specializing in InsurTech, invested through its MS Discovery Fund II alongside BrokerTech Fund, which targets innovation for brokers and carriers across the insurance value chain.
Solving the Last-Mile AI Problem in Insurance
“Stitch is solving the last-mile AI problem in insurance: making AI usable, controllable, and trustworthy at the edge of complex operational workflows,” said Matt Kinley, Founding Partner at ManchesterStory.
Stitch’s founder, Santoash Rajaram, emphasized that the funding confirms the insurance sector’s readiness to move beyond AI experimentation to practical production use. Stitch offers insurers pre-built, insurance-specific AI agents combined with tools to build, deploy, and govern these agents without compromising compliance or explainability.
Purpose-Built AI for Regulated Insurance Environments
Unlike general AI platforms, Stitch is developed specifically for insurance workflows. Its dual-layer architecture enables AI agents to interpret data precisely, make deterministic decisions, and integrate seamlessly into existing systems.
This structured approach allows teams in underwriting, claims, and operations to automate complex processes while maintaining transparency, auditability, and regulatory compliance.
Backing From Leading InsurTech Investors
ManchesterStory focuses on investments that bring lasting value to insurance. “We back companies that solve real problems in the insurance sector, not just generic AI,” Kinley added. Their partnership with Stitch aims to expand generative AI solutions tailored for insurance operational workflows.
Meeting the Insurance Industry’s Growing AI Demand
The U.S. insurance industry is at a tipping point for AI adoption. According to a recent Conning survey, 77% of insurers are implementing AI in some part of their value chain.
Stitch addresses this demand with pre-built insurance agents and a studio platform that lets operational leaders build and launch AI agents directly inside their current systems. Early partners include brokers, managing general agents (MGAs), and carriers across Individual Life, Annuities, Group & Voluntary Benefits, and Property & Casualty sectors.
About Stitch
Stitch combines agentic workflows, deterministic logic, and industry-specific data models to deliver AI agents that are safe, explainable, and fully controllable. The platform supports insurers in modernizing operations across underwriting, claims, and beyond — one AI agent at a time.
About ManchesterStory
ManchesterStory manages $250 million in committed capital from insurance carriers, brokers, financial services, and healthcare institutions. The firm leads early-stage investments in startups advancing technology in insurance and related sectors across North America and internationally.
About BrokerTech Fund
BrokerTech Fund, managed by ManchesterStory and backed by major insurance brokers, invests in technology companies that drive broker-centric innovation. The fund focuses on solutions that help brokers better assess client risks, lower costs, and improve transactional efficiency.
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