It all began with occupational pension provision (bAV): Xempus founder Martin Bockelmann wanted to digitize it with his startup, which was then still called xbAV. For this purpose, the Munich startup a digital platform that connects insurance companies, brokers, employers, and employees. Until now, the four parties communicated primarily in paper form. This was not only complex but also time-consuming: A contract could take up to six months to complete.
The Xempus platform, designed across providers, changed this and simultaneously introduced additional digital functions. Among other things, it allowed common administrative tasks such as address changes, parental leave applications, and contribution changes to be completed digitally. The focus is on a seamless exchange of information. This should lead to informed and enlightened customers who can make better and more informed decisions.
This laid the foundation for the startup's success. Several financing rounds followed over the years, most recently the Series D in March 2022. Xempus received approximately €63.5 million ($70 million) from its investors, including Goldman Sachs Asset Management (GSAM), HPE Growth, and Cinco Capital. This brought the startup's total funding to approximately €113.5 million ($125 million).
From company pension schemes to holistic pension provision
But of course, the platform also evolved over time. After digitizing occupational pension provision, the startup set a new goal: to make all pension provision simple for everyone. To this end, Xempus expanded its platform to include occupational disability insurance in addition to company pension provision. In the future, additional offerings such as company health insurance (bKV) will be added. This development also prompted the company to change its name. In April 2021, xbAV became Xempus to clarify its market focus. Xempus founder Martin Bockelmann explained at the time:
"We started with company pensions. Our platform is designed to allow product providers and other products to be easily connected technologically. We want to become the first point of contact for retirement planning."
Today connects the Insurtech According to its own information, its digital platform connects 18,000 insurance brokers with 60,000 companies and Germany's leading life insurers.
Xempus: “We see ourselves as a scaleup”
We wanted to know from Xempus CEO Tobias Wann which milestones have shaped the company's development, what makes Xempus successful and what future plans his company has.
Munich Startup: Xempus was founded in 2007. What three milestones have changed your company the most since then?
Tobias Wann, Xempus: We started as a service provider for occupational pensions with the vision of our founder, Martin Bockelmann, to create structures that make occupational pensions simple and efficient for everyone involved. Today, this vision is backed by a software-as-a-service platform. Major milestones include the introduction of digital occupational pension administration in 2015, digital occupational pension advisory one year later, and employee access in 2020. Today, we digitize all processes that take place between the broker, the insurance company, and the company.
Munich Startup: Do you still see yourselves as a startup?
Tobias Wann: We see ourselves as a scale-up. We've entered the market and established our company pension solutions. We're building on this and further developing this technology in the corporate environment. We now have 170 colleagues from Munich, Berlin, Saarbrücken, and remotely working to further develop our platform, connect insurance companies, and make new company insurance products digitally easy.
Munich Startup: If there was only one thing you could mention here: What was the most important factor for your success?
Tobias Wann: Improve usability for our users.
Munich Startup: Your founder, Martin Bockelmann, moved to the supervisory board last year and handed over leadership to you as the new CEO. What tips can you give other startups for such a transition?
Tobias Wann: Listen. This is how you get a good picture of a company. Personal conversations provide valuable context right from the start. And you should build on this by using and developing existing formats or creating new and meaningful ones. For us, for example, this involves a combination of regular meetings, weekly company meetings, and open spaces.
“2020 has shown how important digital communication is”
Munich Startup: What is the most challenging topic at Xempus right now?
Tobias Wann: We're on a growth trajectory. We're actively looking for new colleagues to help us develop our SaaS platform into Europe's leading pension insurtech.
Munich Startup: And what impact did the Corona pandemic have on you?
Tobias Wann: 2020 demonstrated the importance of digital communication. In our context, that means insurers, brokers, and companies. Digital communication makes consulting, concluding policies, and administration simple, efficient, and, of course, location-independent. Over the past two years, digital consultations via our platform have increased significantly. The same applies to digital administration. In addition, there has been growing demand for digital company health insurance from both brokers and insurers. Companies want to retain and attract employees. Benefits are a major topic, and company health insurance (BKV) is attractive in the market alongside company pension plans (BAV). We are working on this and will go live in the fall.
Munich Startup: How does your company become the next unicorn?
Tobias Wann: More than unicorn status, we are interested in setting technological standards in the operational environment and expanding these to Europe.
Munich Startup: In your opinion, what is the decisive factor for sustainable corporate development?
Tobias Wann: Supply and demand. And making a technological difference.
Munich Startup: As “old hands,” how do you rate Munich as a startup location?
Tobias Wann: Munich is a hub for IT and insurance professionals. As an insurtech, we value the local interaction. However, I consider flexibility and a sensible mobile work concept more important than the location.
Munich Startup: What is currently at the top of your desk?
Tobias Wann: We have just $70 million in Series D funding We are using this fresh capital to expand our market position in Germany. We are integrating digital health insurance into our platform and simultaneously launching the internationalization of Xempus technology.
