The Demex Group, an insurtech focused on climate resilience, has announced that it has raised $4.2 million in seed funding from investors Anthemis and IA Capital Group.

The Demex Group utilizes experience in technology, finance, risk management, capital markets, insurance and climate science to develop technology and financial solutions to mitigate weather risks.

The funds from the capital raising will be used to build out the Demex team and support go-to-market for municipalities and enterprise customers.

“Extreme weather leads to dramatic fluctuations in revenue, commodity prices, and other operating costs,” the Demex Group said. “Yet existing risk management approaches were designed for a different era. They are ill-equipped today to provide reliable climate-linked financial security."