Applied Systems bought Israeli firm Planck, which creates insurance AI solutions. The firms did not disclose the deal’s worth, although estimates $300 million.
A number of top venture capital firms, including Team8, 3L Capital, Greenfield Partners, Viola Fintech, Arbour Ventures, Vintage Investment Partners, and Eight Roads, have contributed $73 million to Planck’s fundraising effort.
The Israeli startup, which Applied Systems acquired as its first acquisition in Israel, employs 65 people who will serve as the foundation for the insurance software giant’s AI Development Centre in Israel.
Planck provides a platform powered by artificial intelligence (AI) for gathering public business data. Its clientele include numerous global commercial insurance companies. With the use of data-driven insights, Planck’s product helps its clients evaluate risk profiles, streamline underwriting procedures, and raise premiums while cutting costs.
Planck’s platform is used by insurance firms and agencies for underwriting, contract renewals, fast quotes, and the development of more precise actuarial models.
Applied Systems is privately held by the investment firm Hellman & Friedman and employs over 2,700 people worldwide.
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The leading supplier of cloud-based insurance software in the world, Applied Systems offers management solutions for brokers and insurance companies. With thousands of clients in the US, Canada, the UK, and Ireland, the corporation commands a considerable portion of the worldwide market.
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The company has dramatically increased its focus on AI solutions over the last 18 months in an effort to boost productivity and hasten the insurance industry’s use of data. With this acquisition, the company will be able to take advantage of even more chances to harness AI’s potential to produce intelligent automation across the insurance lifecycle.
“Planck was established less than a decade ago, and since then we have managed to create a business advantage for a wide range of commercial insurance clients worldwide,” said Tsur. “Our AI-based product offers real-time business data access, providing a complete and essential view of businesses for insurance companies. The product identifies business risk factors, enabling insurers to tailor policy terms to the insured while achieving financial efficiency and reducing the underwriting loss ratio. Applied Systems’ trust in Planck’s product is a testament to the high value our platform has brought to our leading industry clients. In this partnership, we are expanding the power of AI alongside the breadth of our distribution to agencies and brokers in the insurance market, in addition to the underwriters within the insurance companies themselves. Another significant achievement is leading Applied Systems to enter the local market and grow here significantly, contributing to the Israeli ecosystem. We are excited to embark on a new journey in Planck’s path as part of Applied Systems.”
Insurtech and AI experts Elad Tsur (CEO), Amir Cohen (CTO), and David Schapiro (Co-founder) created Planck in 2016. Before starting Planck, Tsur founded BlueTail, which Salesforce acquired and laid the groundwork for its Israel operations. Tsur and Cohen architects Salesforce Einstein, Salesforce’s AI platform. After a decade as CEO of Earnix, an analytical insurtech business, Shapiro became a prominent insurance industry figure.
Taylor Rhodes, CEO of Applied Systems, said: “We believe the time is now to take bold steps to lead the insurance industry in discovering and implementing the benefits AI has to offer. By acquiring Planck, we will be investing behind a world-class team of AI and Data Science experts to accelerate the application of leading AI capabilities to insurance workflows. With our unique set of insurance technology assets that span both the agency and carrier sides of the market, our investment in Planck will deliver a significant opportunity to create AI-driven value throughout the next generation of the digital roundtrip of insurance in ways that will help our clients know more, do more of what differentiates them the most, and win more often.”
About Applied Systems
Applied Systems has developed cutting-edge technologies for the international insurance market. They are a leading provider of cloud software today, expanding quickly and changing the way insurance brokers and agencies thrive.
About Planck
Planck, the top commercial insurance data platform, lets insurers swiftly and accurately underwrite any company. It’s GenAI-enhanced underwriting workbench mines enormous datasets and uses the latest artificial intelligence to automatically develop and deliver commercial underwriting-specific insights.
