Spruce, a New York City-based mortgage insurance startup, raised $4.5m in Series A funding.
The round was led by Bessemer Venture Partners with participation Omidyar Network, Third Prime Capital, Collaborative Fund and Notation Capital.
The company is using the funds to expand operations.
Founded by Patrick Burns and Andrew Weisgall, Spruce provides an insurance product that protects real estate purchasers and/or lenders against issues with the chain of title to their property. Title insurance policies are paid for at the time of closing through a one time premium charge that will be listed on Closing Disclosure. The Owner’s Policy premium is based on the value of the home and the Lender’s Policy Premium is based on the loan amount.