FutureProof Technologies to enhance wildfire coverage with Terrafuse AI acquisition

FutureProof Technologies, a venture-backed insurtech startup, has entered into a definitive agreement to acquire Terrafuse AI, a provider of wildfire risk analytics.

The acquisition combines FutureProof’s AI-powered underwriting and pricing platform with Terrafuse’s patented wildfire prediction technology, creating a comprehensive platform to deliver next-generation insurance coverage in wildfire-affected states.

Following the devastating California wildfires in January 2025, the acquisition comes at a critical time for the property insurance industry, where additional coverage options are urgently needed.

Since 2021, Terrafuse has provided advanced analytics in wildfire-prone property insurance markets, demonstrating strong predictive accuracy.

Alisa Valderrama, Co-Founder and Co-CEO of FutureProof Technologies, said, “This acquisition represents a key moment for both companies and the insurance industry at large.

“We have built an excellent track record and written over $1B in total insurable value since we launched in August 2024, with an emphasis on the Southeast. By integrating Terrafuse’s proven wildfire models with our AI-powered underwriting platform, we can bring a similarly incisive view to pricing cat-exposed property in the west. Backed by validation from the insurance market including successful use by underwriters, Terrafuse’s machine learning models have been proven through multiple fire seasons and now helps extend FutureProof’s AI advantage into the West Coast market. This type of innovation, which leverages AI to bring new sources of capacity to resilient properties, is exactly what the market needs now.”

Hunter Connell, Co-Founder and CEO of Terrafuse AI, added, “Terrafuse’s machine learning models continuously improve, updated each day with more than fifty distinct variables — from property-level details like roof type and building materials to microscale environmental factors such as wind direction, vegetation, vapor pressure deficit, fuel moisture, and humidity.

“Where other wildfire models rely on coarse, infrequently updated vegetation maps or broad-scale weather grids, Terrafuse pinpoints the fine-grained, property-specific conditions that actually drive loss. This precision enables us to estimate burn probability and damage potential at 300-square-foot resolution. By integrating this capability with FutureProof’s proprietary pricing engine, we help more homeowners in high-risk regions gain access to affordable wildfire insurance and advance our founding mission to harness AI and climate science to protect communities from disasters.”