Zinnia to acquire Policygenius

Following our report, Zinnia, a solutions provider for life insurance and annuities, is making it official with the announcement that it is acquiring Policygenius. The acquisition lays the foundation for “the industry’s first front-to-back architecture to power the entire insurance value chain and better serve carriers, advisors, and policyholders.”

Together, Zinnia and Policygenius will offer products and services spanning life and annuities, disability, and property and casualty insurance.

Zinnia will continue to offer Policygenius’ full suite of online services under the Policygenius brand. These capabilities will connect with Zinnia’s new system of record to further develop the “Open Insurance” architecture. The acquisition opens growth opportunities for Zinnia’s and Policygenius’ combined 60+ carrier clients, 350 distributors and partners, and 2M+ policyholders, according to the company.

“At Zinnia, we want to provide solutions that simplify the process of buying insurance and deliver an exceptional experience for consumers from purchase to claim. Policygenius has always put consumer experience at the heart of their business, and their capabilities will accelerate our journey. We look forward to welcoming Policygenius clients, an experienced leadership team, and approximately 450 new team members to Zinnia, and are excited to power growth in our industry.” – Michele Trogni, Zinnia CEO.

“We are thrilled to have a partner in Zinnia, that shares in our vision to transform the industry through technology and a consumer-first approach. Their depth of insurance expertise and entrepreneurship has resulted in more than $170B in assets under administration and the launch of 170+ new carrier products. Together, we will expand the reach of our carrier and distribution partners, helping even more consumers achieve financial protection. The promise of Open Insurance is huge, and we are excited to embark on this journey with Zinnia together.” – Jennifer Fitzgerald, Policygenius co-founder and CEO and newly appointed Zinnia board member.

“This strategic combination positions Zinnia and Policygenius to deliver great benefits for carriers and consumers, and we believe there is enormous unmet demand in the market for a seamless digital experience underpinned by a compelling, end-to-end insurance offering. We look forward to serving as an investor in the combined business alongside Eldridge and supporting Michele, Jennifer, and these talented teams in their next chapter of growth.” – Jake Heller, partner at KKR and newly appointed Zinnia board member.

Bottom Line: A disappointing deal to some.