Stitch Secures Funding from ManchesterStory and BrokerTech Fund to Launch Insurance-First Agentic AI Platform

Led by ManchesterStory, the round fuels Stitch’s mission to deliver auditable, explainable AI agents, automating insurance workflows.

PORTLAND, OR, UNITED STATES, July 8, 2025 /EINPresswire.com/ -- Stitch, an AI platform purpose-built for the insurance industry, today announced it has closed a $3M Seed round led by ManchesterStory, a premier InsurTech-focused venture capital firm. ManchesterStory invested through its InsurTech-focused MS Discovery Fund II, and through BrokerTech Fund which together invest in innovative companies driving carrier and broker-centric innovation across the insurance value chain.

The investment will accelerate Stitch’s go-to-market efforts, deepen its insurance-specific AI capabilities, and expand adoption of its AI Studio platform among carriers, brokers, and managing general agents (MGAs).

“This funding validates that the insurance industry is ready to move from AI experimentation to meaningful production deployments,” said Santoash Rajaram, second-time InsurTech entrepreneur and founder of Stitch. “With Stitch, we’re giving insurers access to insurance-specific AI agents out of the box coupled with full control to build, deploy, and govern agents tailored to their operations without compromising compliance, explainability, or control.”

Beyond the LLM: Purpose-Built AI for Regulated Insurance Environments

Unlike general-purpose AI platforms, Stitch is built from the ground up to address the specific needs of the insurance industry. Stitch’s dual-layer approach combines domain-extendable AI agents enabling precise data interpretation, deterministic decisioning, and seamless integration within existing workflows.
The platform’s structured AI architecture allows underwriters, claims teams, and operations leaders to automate high-friction workflows within their existing systems, all while maintaining transparency, auditability, and regulatory alignment.

Backing from a Leading Insurtech Investor

“We invest in companies that bring real, durable value to the insurance sector, not just generic AI,” said Matt Kinley, Founding Partner at ManchesterStory. “Stitch is solving the last-mile AI problem in insurance: how to make AI usable, controllable, and trustworthy at the edge of complex operational workflows. We are very excited to partner with the Stitch team to help expand generative AI solutions to the insurance industry.”

Meeting the Market Where It’s Headed

The announcement comes as the U.S. insurance industry crosses a tipping point in AI adoption. The industry is embracing artificial intelligence (AI) at an accelerating pace, with 77% of respondents in a recent Conning survey indicating they are in some stage of adopting AI in their value chain.
Stitch bridges this gap with pre-built insurance specific agents, agentic workflows and a studio model that gives operational leaders the ability to easily build and launch AI agents directly into existing systems.

Stitch’s early design partners span Individual Life and Annuities, Group & Voluntary Benefits, and property & casualty (P&C) sectors, and include Brokers and MGAs eager to scale with lean operational teams.

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About Stitch

Stitch is an AI platform engineered specifically for the insurance industry. By combining agentic workflows, deterministic logic, and industry-tuned data ontology, Stitch helps insurers deploy safe, explainable, and fully controllable AI agents across the insurance value chain. From underwriting to claims, Stitch empowers insurance organizations to modernize core operations one AI agent at a time. www.stitchstudio.ai

About ManchesterStory

Backed by $250 million in committed capital from insurance carriers & brokers, financial services firms, and health care institutions, ManchesterStory is a preeminent lead investor in early-stage startups driving technological innovation in insurance, financial services and healthcare across North America and internationally. Learn more at www.manchesterstory.com.

About BrokerTech Fund

Managed by ManchesterStory, BrokerTech Fund is backed by leading insurance brokers and invests in innovative companies driving broker-centric innovation across the insurance value chain. The Fund targets technology solutions that help brokers better understand client risks, reduce costs, and transact business more efficiently. More at https://www.brokertechfund.com/

Media Contact:
Marissa Buckley
marissa@stitchstudio.ai

Marissa Buckley
Stitch Studio
+1 773-294-9724
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