Penn-America Acquires AI Insurance Agency Sayata for Tens of Millions

Penn-America Group has acquired US-Israeli AI insurance agency Sayata, founded by Asaf Lifshitz, Iddan Golomb, and Avishay Maya. The deal is worth tens of millions of dollars in cash and shares. Sayata produces annual recurring revenue of $10 million and overall annual revenue of $60-70 million. The acquisition is the second Israeli insurtech company to be sold to a financial giant in 2025, following Munich Re's acquisition of Next Insurance for $2.6 billion.

Penn-America Group, a subsidiary of Global Indemnity Group, LLC (GBLI), has acquired US-Israeli AI insurance agency Sayata. The deal, valued at tens of millions of dollars in cash and shares, marks a significant strategic move in the rapidly evolving insurance landscape. Sayata, founded by Asaf Lifshitz, Iddan Golomb, and Avishay Maya, generates annual recurring revenue of $10 million and overall annual revenue of $60-70 million. This acquisition follows Munich Re's acquisition of Next Insurance for $2.6 billion, another notable InsurTech deal in 2025.

The acquisition of Sayata by Penn-America Underwriters (PAU) aims to digitize commercial insurance distribution and underwriting, leveraging AI for dynamic pricing and risk assessment. The integration targets underserved Excess & Surplus (E&S) markets, which represent a $257.83 billion market in the U.S. alone, projected to grow at 5.47% annually through 2032 [1]. By automating workflows and enhancing data analytics, GBLI aims to outcompete legacy insurers in a $1.684 trillion global market growing at 6.2% CAGR.

Sayata's platform offers a scalable solution for automating distribution, underwriting, and agency operations, addressing critical inefficiencies in traditional commercial insurance workflows. For GBLI, this acquisition accelerates its Project Manifest initiative, which aims to digitize customer relationships and expand product offerings in specialty insurance. By leveraging Sayata's AI-driven tools, PAU can streamline policy customization, reduce time-to-market for new products, and enhance data-driven risk assessments—key differentiators in a sector where 34% of U.S. commercial business falls under the E&S category [3].

The global commercial insurance market is expanding rapidly, driven by rising cyber threats, climate-related risks, and the globalization of supply chains. By 2033, the market is expected to reach $1.684 trillion, with a 6.2% CAGR [2]. However, traditional insurers remain constrained by legacy systems, creating a vacuum for InsurTech-enabled players like GBLI. Sayata's technology bridges this gap by enabling real-time data analytics and dynamic pricing models, which are critical for addressing niche risks. For instance, AI-driven risk assessments allow insurers to price policies more accurately for emerging exposures, such as cyberattacks or supply chain disruptions [2].

GBLI's acquisition of Sayata is not merely a technological upgrade but a strategic repositioning in a fragmented market. By combining Sayata's digital agility with PAU's established underwriting expertise, GBLI can scale its distribution network while maintaining profitability. Asaf Lifshitz, CEO of Sayata, emphasized that the partnership will "expand reach while maintaining best-in-the-industry economics for customers" [1], a claim supported by the platform's ability to reduce operational costs through automation.

Moreover, the integration of AI into agency operations allows GBLI to enhance customer relationships through personalized service. For example, Sayata's platform can analyze client data to recommend tailored insurance products, fostering loyalty in a sector where customer retention is often low. This aligns with broader industry shifts toward customer-centric models, as highlighted in McKinsey's 2025 Global Insurance Report [4].

While the acquisition’s financial terms remain undisclosed, the strategic and operational synergies are clear. GBLI’s move to digitize its distribution and underwriting processes positions it to capture a larger share of the E&S market, which is expected to outperform traditional segments in the coming decade. For investors, this acquisition signals a commitment to innovation and long-term growth in a sector ripe for disruption.

References:
[1] Penn-America Underwriters Acquires Sayata, an AI-Enabled Digital Distribution Marketplace for Commercial Insurance [https://www.businesswire.com/news/home/20250902740057/en/Penn-America-Underwriters-Acquires-Sayata-an-AI-Enabled-Digital-Distribution-Marketplace-for-Commercial-Insurance]
[2] Commercial Insurance Market Size, Trends & Report 2033 [https://www.imarcgroup.com/commercial-insurance-market]
[3] State of the Market - 2025 Outlook [https://www.amwins.com/resources-and-insights/market-insights/article/state-of-the-market-2025-outlook]
[4] Global Insurance Report 2025: The pursuit of growth [https://www.mckinsey.com/industries/financial-services/our-insights/global-insurance-report]