Munich Re has agreed to buy At-Bay, a US-based cyber insurance and cybersecurity startup, for an enterprise value of $575 million. The deal, announced on August 19, marks the German reinsurance giant\u2019s latest and most direct bet that the future of insurance runs through cybersecurity.<\/p>\n
At-Bay raised capital at a $1.35 billion post-money valuation during its 2021 Series D round. Selling for $575 million means the company is changing hands at roughly 43 cents on the dollar relative to that peak.<\/p>\n
What Munich Re is buying<\/p>\n
At-Bay was founded in 2017 with a premise that sounds obvious in hindsight: pair cyber insurance policies with actual cybersecurity tools so claims happen less often. The company serves approximately 40,000 small and medium-sized enterprises across the US.<\/p>\n
As of December 31, 2025, At-Bay reported gross written premiums of roughly $278 million, plus another $23 million in fee revenues from its cybersecurity services. That $301 million combined top line gives the $575 million price tag a revenue multiple under 2x.<\/p>\n
The company employs around 280 people split between the US and Israel. Once the deal closes, expected in Q1 2027 pending regulatory approvals, At-Bay will operate under Hartford Steam Boiler, Munich Re\u2019s subsidiary that specializes in technology and cyber risks. HSB has been around since 1866.<\/p>\n
Munich Re\u2019s insurtech acquisition spree<\/p>\n
This is not Munich Re\u2019s first rodeo in the Israeli-linked insurtech space. Its ERGO unit completed the acquisition of Next Insurance for $2.6 billion back in March 2025. Next Insurance, like At-Bay, was built to serve SMEs, though its focus was broader commercial coverage rather than cyber-specific products.<\/p>\n
The relationship between Munich Re and At-Bay is not new, either. The two companies have partnered since At-Bay\u2019s founding in 2017, with Munich Re providing reinsurance capacity for At-Bay\u2019s policies.<\/p>\n
The cyber insurance market is heating up<\/p>\n
At-Bay\u2019s model addresses the SME gap by bundling proactive security monitoring with insurance coverage. For Munich Re, owning that full stack\u2014from risk assessment and prevention through underwriting and claims\u2014creates a feedback loop that purely traditional insurers cannot replicate. Every claim At-Bay processes generates data about attack vectors and vulnerabilities. That data feeds back into better underwriting models and more targeted security recommendations, which in turn reduce future claims.<\/p>\n
What this means for the market<\/p>\n
The $575 million price tag, while a significant markdown from At-Bay\u2019s 2021 peak valuation, still represents a substantial commitment to the thesis that integrated cyber risk management is the future. Munich Re is not buying a distressed asset. It is buying a company with $278 million in gross written premiums and a proven model.<\/p>\n
Munich Re has chosen to buy twice in roughly 18 months, spending a combined $3.175 billion on Next Insurance and At-Bay.<\/p>\n
The deal\u2019s Q1 2027 expected close date means regulatory review will span multiple jurisdictions, given Munich Re\u2019s German domicile and At-Bay\u2019s US-Israel footprint.<\/p>\n