Intuit to Acquire Technology from Zendrive
June 13 2024 - 11:00AM
Business Wire
Transaction will enable Intuit Credit Karma to
accelerate Karma Drive and help members save on auto insurance
Intuit Inc. (Nasdaq: INTU), the global financial technology
platform that makes Intuit TurboTax, Credit Karma, QuickBooks, and
Mailchimp, announced today that it has signed an agreement to
acquire technology from leading mobility risk intelligence provider
Zendrive. Certain Zendrive employees, including CEO Dennis Ellis
and Co-founder and CTO Pankaj Risbood, will join Credit Karma to
accelerate innovation and adoption of its usage-based auto
insurance product, Karma Drive.
Credit Karma members can choose to participate in a trial where
they receive real-time feedback on their driving and can view
potential discounts before purchasing a policy, all powered by
telematics. Bringing discount opportunities to the front of the
insurance shopping experience, before members purchase a policy,
gives them more choice and certainty as to what they will pay,
while incentivizing them to become safer drivers – always done
transparently, with a member’s consent. Karma Drive’s
telematics-driven model has yielded more than 4 million discounted
policy offers for Credit Karma members, and has the potential to
give carriers better visibility, with member consent, into driving
behaviors that are more predictive of driving risk than traditional
attributes, such as a driver’s credit score.
“Insurance costs have increased dramatically, and Americans are
looking for ways to minimize driving expenses in this
high-inflation environment,” said Joe Kauffman, president of Credit
Karma. “Karma Drive gives our members access to personalized
discount offers based on safe driving habits, without first having
to purchase a policy. With Zendrive's technology and expertise, we
strive to make usage-based auto insurance more accessible than ever
and bring more transparency, fairness, and accuracy to consumer
auto insurance pricing, while providing insight into their driving
behaviors.”
Credit Karma has partnered with Zendrive since it launched Karma
Drive more than three years ago. To date, Karma Drive has enrolled
more than 6 million members in the program.
“Zendrive's mission is to make roads safer with data and
analytics, and we pride ourselves on delivering experiences that
help create awareness for safe driving habits,” said Dennis Ellis,
CEO of Zendrive. “Intuit’s customer-obsessed culture is a perfect
match for our team. Together we will democratize access to fair
insurance for all Americans based on their driving habits, not
their financial situation.”
Intuit’s mission is to power prosperity around the world and the
company has committed to a Bold Goal of doubling the household
savings rate of customers by 2030. Americans want to minimize
driving expenses in this high-inflation environment, and this
transaction deepens Intuit’s insurance investment to help Credit
Karma members save big on insurance.
Intuit expects to close the transaction in Q4 FY24. Terms of the
deal weren't disclosed.
Learn more on Credit Karma’s blog.
Advisors
Latham & Watkins LLP acted as legal advisor to Intuit.
Gunderson Dettmer Stough Villeneuve Franklin & Hachigian, LLP
acted as legal advisor and Evercore acted as financial advisor to
Zendrive.
About Intuit
Intuit is the global financial technology platform that powers
prosperity for the people and communities we serve. With
approximately 100 million customers worldwide using products such
as TurboTax, Credit Karma, QuickBooks, and Mailchimp, we believe
that everyone should have the opportunity to prosper. We never stop
working to find new, innovative ways to make that possible. Please
visit us at Intuit.com and find us on social for the latest
information about Intuit and our products and services.
About Credit Karma
Founded in 2007, Credit Karma, an Intuit company (Nasdaq: INTU),
is a consumer technology company with more than 130 million members
in the United States, U.K. and Canada, including more than half of
all U.S. millennials. While best known for pioneering free credit
scores, the company’s members turn to Credit Karma for everything
related to their financial goals, including identity monitoring,
applying for credit cards, shopping for loans (car, home and
personal), auto insurance, savings accounts and checking accounts
through our bank partner, MVB Bank, Inc., Member FDIC.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240613856067/en/
Media Relations Sara Day, press-inquiries@intuit.com
Investor Relations Kim Watkins,
investor_relations@intuit.com
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