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Insurity (Hartford) has announced that General Atlantic (New York), a global private equity firm, has made a strategic growth investment in the company. General Atlantic joins TA Associates and Genstar Capital as an investor and strategic partner. The announcement comes after Insurity announced its acquisition of Tropics Software and the launching of its Data Solutions division earlier this month.
Insurity provides a core insurance software suite and analytics solutions spanning policy administration, claims, billing, reinsurance, and data integration to property and casualty insurers. The company is in production with over 175 insurers of all sizes, including several of the largest carriers in the U.S.
The announcement of General Atlantic’s investment in Insurity demonstrates gathering momentum in the interest of private equity (PE) firms in the insurance technology sector, according to Donald Light, Director, North America Property/Casualty Practice, Celent (Boston). “Since Insurity’s current PE investors—Genstar Capital and TA Associates—remain in place, General Atlantic is bringing additional capital and investor experience,” Light notes. “Look for Insurity to continue its growth momentum—as already evidenced by its acquisitions of Oceanwide and Tropics. What is next?”
“We are delighted to have General Atlantic as an investor and partner,” comments Jeffrey Glazer, CEO, Insurity. “General Atlantic’s deep sector expertise and experience partnering with high growth companies will enable us to further strengthen our leadership position in the insurance software market.”
“Insurity has become a leading solutions provider as carriers seek to replace obsolete or disjointed legacy systems with integrated, scalable end-to-end solutions,” said Paul Stamas, Principal at General Atlantic, who will join Insurity’s board of directors. “We are excited to partner with them to continue to drive growth and create value for their clients.”
Building on Recent Acquisitions
Insurity has expanded its product offering in recent years through strategic acquisitions that complement the company’s core products and services. In June 2016, the company acquired Tropics Software Technologies, an insurance software firm that focuses on the workers’ compensation market for carriers, state and self-insured funds as well as other specialty workers’ compensation organizations; and in May 2015, Insurity acquired Oceanwide, a cloud-based solution provider that delivers core processing solutions that support commercial and specialty insurance line carriers and MGAs via a SaaS model.
In the company’s next phase of growth, Insurity reports that it plans to expand its reach as a result of these acquisitions and to capitalize on recent internal product developments. In particular, the company has made significant investments in its core processing suite and has continued to develop and roll out Insurance Enterprise View (IEV), which the vendor touts as the insurance technology market’s most comprehensive enterprise data solution.
Leadership Position in P&C Market
“Insurity has seen considerable success expanding its products and services to address the broad needs of its customer base through both key acquisitions and internal investment,” comments Harry Taylor, a partner at TA Associates. “We are pleased to continue to support Insurity, in partnership with General Atlantic and Genstar, as it builds upon its leadership position in the property and casualty insurance market.”
Ryan Clark, a Managing Director and President of Genstar Capital adds, “We are proud of the progress of Jeffrey and the Insurity team who have executed so well since our original investment. We see even a brighter future ahead for Insurity and welcome the addition of General Atlantic to the team.”