Lazarus AI Raises $43 Million in Funding

QBE and State Farm Ventures join investors backing the Boston-based developer of AI tools for document processing, cybersecurity and legacy software modernization.

Updated on Nov. 4, 2026 in Startups

Lazarus AI Raises $43 Million in Funding

Lazarus AI announced $43 million in funding, with QBE and State Farm Ventures participating in the round. The Boston company, founded in 2017, builds AI software that extracts information from documents, identifies code vulnerabilities and converts older software into modern code.

Why it matters

The round signals continued investor interest in AI tools aimed at modernizing legacy systems and strengthening cybersecurity for enterprises. QBE's venture arm had already invested in the company in 2024, indicating a continuing relationship rather than a single bet.

Lazarus AI reported $43 million in total funding from a group that includes QBE, State Farm Ventures, Techstars and Plug and Play. The announcement did not disclose a valuation or funding stage, and it remains unclear how much of the amount is new capital.

The players

Lazarus AI

A Boston-based startup founded in 2017 that develops AI tools for document processing, cybersecurity and legacy system modernization.

QBE

An international insurance group whose venture arm invested in Lazarus AI in 2024 and participated in the new round.

State Farm Ventures

The venture capital arm of State Farm, the large U.S. insurer, which participated in the funding round.

The details

Investors in the round include Mucker Capital, Motivate Ventures, Wave Function Ventures, Indelible Solutions, Joyance Partners, AllegisNL Capital, One Way Ventures and AngelList. Customers can run the platform on their own infrastructure or in their cloud, retaining control over their data and model changes.

2017: Lazarus AI is founded in Boston.
2024: QBE's venture arm makes its first investment in Lazarus AI.
November 4, 2026: The $43 million funding is announced.

Startup Landscape

Lazarus AI's focus on converting older software into modern code places it within the broader wave of AI tools aimed at aging enterprise systems. Its backing from insurers and a corporate venture arm reflects how legacy modernization has drawn sustained interest from established financial and insurance players.

For businesses running older software, Lazarus AI's tools offer a route to convert legacy code and scan for vulnerabilities without moving data off their own infrastructure. Companies weighing such tools can evaluate deployment on-premises or in their own cloud to keep control of sensitive records.

The takeaway

Investment in AI tools for legacy modernization is drawing backing from insurers and financial firms, not only software investors. Organizations maintaining older systems may find such tools worth evaluating for both security and migration needs.