By Ali Safavi, Co-founder & CEO of COVU
We've been obsessed with helping people manage their risk for quite some time now. Our journey began with VERO (which is what we call our AI now), where we focused on creating direct-to-consumer solutions for risk management. But we quickly learned something crucial: the best way to truly help people navigate their complex risk landscapes isn't by bypassing the experts—it's by empowering them.
That realization led us to launch COVU as an all-in-one AI-native platform designed specifically to help run agencies on behalf of our partners. Our mission evolved to enable agents to focus on what they're best at—building relationships and providing expert advice—while we handle the operational complexities and technological infrastructure that can otherwise consume their time and resources.
This wasn't a pivot away from our original vision. It was a more effective path toward the same goal: helping people manage risk in a rapidly changing world. We just recognized that the trusted advisor model, when properly supported, is the most powerful vehicle to deliver on that promise.
That realization led us to launch COVU as an all-in-one AI-native platform designed specifically to help run agencies on behalf of our partners. Our mission evolved to enable agents to focus on what they're best at—building relationships and providing expert advice—while we handle the operational complexities and technological infrastructure that can otherwise consume their time and resources.
This wasn't a pivot away from our original vision. It was a more effective path toward the same goal: helping people manage risk in a rapidly changing world. We just recognized that the trusted advisor model, when properly supported, is the most powerful vehicle to deliver on that promise.
Building the 10,000-Year-Old Agent
Our team likes to say we're building the "10,000-year-old agent"—but AI-native.
What does that mean? It means preserving everything that makes the local, community-rooted insurance agency irreplaceable: the personal relationships, the deep understanding of clients' needs, the trust built over generations, the handshake that seals the deal.
But we're enhancing it with AI that works behind the scenes, handling the operational complexity while keeping the human relationship front and center. It feels like your local agent who remembers your kids' names and your risk preferences—but now powered by intelligent systems that make them even more effective.
When we founded COVU, we weren't trying to disrupt the agency model. In fact, we were trying to do the opposite—protect it and help it evolve.
In a tech industry obsessed with "disruption" and "disintermediation," our belief was radical in its simplicity:
The best way to serve insurance customers is through trusted human partners.
Independent agencies aren't just distribution channels. They're pillars of their communities. They provide personalized advice that algorithms can't replicate. They're the people who show up after the fire, the flood, or that unexpected call with bad news.
These relationships are irreplaceable. And we've built our entire company on that conviction.
What does that mean? It means preserving everything that makes the local, community-rooted insurance agency irreplaceable: the personal relationships, the deep understanding of clients' needs, the trust built over generations, the handshake that seals the deal.
But we're enhancing it with AI that works behind the scenes, handling the operational complexity while keeping the human relationship front and center. It feels like your local agent who remembers your kids' names and your risk preferences—but now powered by intelligent systems that make them even more effective.
When we founded COVU, we weren't trying to disrupt the agency model. In fact, we were trying to do the opposite—protect it and help it evolve.
In a tech industry obsessed with "disruption" and "disintermediation," our belief was radical in its simplicity:
The best way to serve insurance customers is through trusted human partners.
Independent agencies aren't just distribution channels. They're pillars of their communities. They provide personalized advice that algorithms can't replicate. They're the people who show up after the fire, the flood, or that unexpected call with bad news.
These relationships are irreplaceable. And we've built our entire company on that conviction.
Our Original Mission
From day one, COVU has focused on building AI-native infrastructure that allows agencies to focus on what they do best—advising, supporting, and guiding customers—while we handle everything else behind the scenes.
That remains our core mission. But as we've grown deeper relationships with our agency partners, we noticed something important happening in the industry.
The Coming Succession Wave
Many of these agency owners don't have formal succession plans. Even more concerning, many don't have children or employees interested in taking over their businesses.
This presents a real dilemma: What happens to these agencies? What happens to their clients? What happens to the decades of trust and relationships they've built?
This presents a real dilemma: What happens to these agencies? What happens to their clients? What happens to the decades of trust and relationships they've built?
Why We Started Buying Agencies
While COVU’s primary model is to support agencies that continue operating under their owners, there is a thoughtful strategy in place for situations when an owner decides to step away from the business entirely. COVU understands that an independent agency is more than just a book of business – it is often a lifework, built on decades of service, personal relationships, and community presence. When an agency principal nears retirement or needs to exit for other reasons, it can be an emotional and pivotal moment. The owner’s top concerns typically include: Who will take care of my clients and employees? Will the legacy and reputation I’ve built endure? Recognizing this, COVU approaches acquisitions not as a typical “buyout” but as a stewardship of the agency’s legacy.
We only buy when a partner wants to exit—and wants to do it without disruption to their clients and staff.
As we saw this succession challenge emerging, we realized we could offer something rare in this industry:
We built this option not because it was part of our original roadmap—but because it aligns with our North Star: to be the best customer manager and advisor for everything risk and insurance-related.
We only buy when a partner wants to exit—and wants to do it without disruption to their clients and staff.
As we saw this succession challenge emerging, we realized we could offer something rare in this industry:
- A clean, respectful exit that protects an agency's legacy
- A continuity plan for customers and staff
- A way to keep books alive, even if the principal wants out
- And sometimes, just a partner to run the book quietly while they step back
We built this option not because it was part of our original roadmap—but because it aligns with our North Star: to be the best customer manager and advisor for everything risk and insurance-related.
The Evolving Insurance and Risk Landscape: From Reactive to Proactive
Our approach to acquisitions is directly connected to our vision for the future of insurance.
We don't believe the future of insurance is about selling more policies. We believe it's about managing risk—before, during, and after a claim. Turning insurance into more of a continuous service rather than a set-and-forget policy contract. In practical terms, this means starting to help clients avoid or mitigate losses before they happen, not just step in after the fact.
Take the LA wildfires as an example:
We don't believe the future of insurance is about selling more policies. We believe it's about managing risk—before, during, and after a claim. Turning insurance into more of a continuous service rather than a set-and-forget policy contract. In practical terms, this means starting to help clients avoid or mitigate losses before they happen, not just step in after the fact.
Take the LA wildfires as an example:
AI systems can synthesize weather data, satellite images, and other readings to issue hyper-local alerts – a system might warn a homeowner, “A wind-driven wildfire front is projected to reach your area in 12 hours; here are steps to protect your home now.” This isn’t theoretical: insurers are already testing programs, where clients receive a heads-up like “hailstones will hit your driveway in 30 minutes” so they can move their car to the garage in time. During the Southern California wildfire season, such timely, tailored alerts could mean the difference between minor damage and a total loss. By advising customers to clear brush, shut vents, or evacuate early, we can truly act as a risk advisor, not just a payer. It’s a powerful example of how combining data with human outreach creates value: the insured is safer, and the insurer potentially avoids a large claim.
This is what customers need. And we believe it's where the industry is heading.
The difference? AI is accelerating that timeline.
With AI, we can analyze gaps in coverage in real time. We can personalize risk advice at scale. We can offer automated follow-ups, claims tracking, fraud alerts, and more—not to replace the agent, but to augment and empower them.
We don't believe AI kills the agency. We believe AI gives the agency superpowers.
This is what customers need. And we believe it's where the industry is heading.
The difference? AI is accelerating that timeline.
With AI, we can analyze gaps in coverage in real time. We can personalize risk advice at scale. We can offer automated follow-ups, claims tracking, fraud alerts, and more—not to replace the agent, but to augment and empower them.
We don't believe AI kills the agency. We believe AI gives the agency superpowers.
Supporting Every Stage of the Agency Lifecycle
Through our work with hundreds of agencies, we've come to see that they go through distinct life stages—and we want to serve them through all of them.
This isn't just a business model. It's an ecosystem. It's a vision for how the insurance industry evolves without losing its soul.
- In Growth Mode: we help agencies scale faster with our service teams, tech stack, and AI-enabled workflows.
- In Diverse Time (when owners want to step back but not fully exit): we run their book while they spend more time with family or focus on other priorities.
- In Sell Mode: we offer a respectful, clean exit—often while retaining their team and brand.
This isn't just a business model. It's an ecosystem. It's a vision for how the insurance industry evolves without losing its soul.
Evolving to Modern Risk Advisors Together
Our vision has always been to transform how risk is managed, not just how policies are sold. By partnering with agencies—and in some cases, acquiring them—we're creating a new kind of risk advisor:
This modern risk advisor model combines the best of human expertise with AI capabilities. And by working together with our agency partners, we're making this vision a reality much faster than either of us could alone.
- One who leverages data to identify emerging risks before they materialize
- One who provides personalized recommendations based on comprehensive analysis
- One who stays connected through intelligent, automated touchpoints that feel personal
- One who advocates for clients through the entire risk journey, not just at renewal or claim time
This modern risk advisor model combines the best of human expertise with AI capabilities. And by working together with our agency partners, we're making this vision a reality much faster than either of us could alone.
The 10,000-Year Agency Made Possible Today
In many ways, we're taking the best elements of the traditional agency model—the model that has endured for generations—and ensuring it can thrive for generations to come. The "10,000-year-old agency" isn't just a catchy phrase; it's our north star:
By selectively acquiring agencies that align with this vision, we're not just preserving their legacy—we're extending it far into the future.
- Local knowledge with global intelligence
- Personal relationships enhanced by data-driven insights
- Human empathy powered by AI efficiency
- Community roots with technological wings
By selectively acquiring agencies that align with this vision, we're not just preserving their legacy—we're extending it far into the future.
Building Stewardship, Not Just Software
COVU is here to:
And we're doing it with agencies, not around them.
So yes, we also buy—when the time is right. But what we're really building is something much larger:
- Support advisors with AI-native operations
- Preserve community-rooted agencies
- Modernize risk engagement for the customer
- And evolve the entire system from reactive coverage to proactive risk management
And we're doing it with agencies, not around them.
So yes, we also buy—when the time is right. But what we're really building is something much larger:
- A platform that meets every agency where they are
- A model that evolves alongside every customer's risk journey
- A future where technology enables deeper care, not colder service
An Invitation to Partnership
If you're an agency owner thinking about what's next—whether you want to grow, step back, or exit—we'd love to talk.
No pressure. Just partnership.
We're building this future together—a future where the time-tested values of the local insurance agent meet the limitless possibilities of artificial intelligence. We'd be honored to have you join us on this journey.
No pressure. Just partnership.
We're building this future together—a future where the time-tested values of the local insurance agent meet the limitless possibilities of artificial intelligence. We'd be honored to have you join us on this journey.
Ali Safavi is the Founder and CEO of COVU, an AI-native insurance infrastructure company dedicated to empowering independent agencies through technology partnerships and selective acquisitions.
