Canada’s Definity to Acquire Minority Stake in Broker Apollo Insurance
Definity Financial Corp. announced a strategic partnership with APOLLO Insurance Solutions Ltd., a Canadian digital insurance broker and MGA that specializes in commercial insurance.
This strategic partnership includes a distribution relationship between Definity’s affiliate Definity Insurance Company and APOLLO, and an agreement by Definity to complete an initial minority equity investment in APOLLO.
Financial details of the cash deal, which is subject to regulatory approval, were not disclosed. The transaction is expected to close during the second quarter of 2022.
Definity has an established digital insurance expertise in commercial lines, which includes the broker digital platform Vyne Commercial. Definity said the partnership with APOLLO will expand its existing digital footprint
APOLLO allows its broker partners and customers to purchase insurance online through its proprietary platform. APOLLO’s all-digital approach leverages extensive data and intelligent algorithms to quote, collect payment, and issue policies – all without human intervention – and serves all provinces, except Québec.
“Definity is one of Canada’s leading digital insurance providers, and this partnership with APOLLO will allow us to extend the opportunities for a simpler insurance experience for both brokers and their customers,” said Fabian Richenberger, executive vice president, Commercial Insurance, Definity, in a statement.
“We believe that the scalable platform that APOLLO provides, combined with our proven track record in digital innovation and strong underwriting, will help strengthen our commercial distribution capabilities,” he added.
“Our partnership with Definity provides us with resources and opportunities to expand our footprint in the small to mid-size business market,” commented Jeff McCann, chief executive officer and co-founder of APOLLO. “Definity and APOLLO share a deep commitment to using technology and software to deliver an effortless insurance experience to customers and our retail broker partners.”
APOLLO has a user base of more than 6,000 individual Canadian brokers and over 150 group partners.
Definity was established in 2021 following the demutualization of the Economical Mutual Insurance Co., which was founded in 1871.
Source: Definity Financial Corp.
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