AXA to acquire Italian insurtech Prima: Know more

Paris-based AXA, a global insurance and financial services company, has announced an agreement to acquire Milan’s Prima, a direct insurance company in Italy with recorded premiums of €1.2B in 2024.

Founded in 2015, Prima has gained a significant share in the retail motor insurance segment in Italy, holding around 10 per cent of the market. The company operates through a direct distribution model, utilising its own technology and data systems to support pricing and customer acquisition. In 2024, Prima recorded a combined ratio of 90 per cent in its Italian operations.

Based in Milan, Prima operates as a Managing General Agent. It employs over 1,100 professionals, including more than 400 individuals working in software development, IT, and data science. The company has also begun direct insurance operations in the UK and Spain.

AXA will acquire a 51 per cent majority stake in Prima for €0.5B. In addition, AXA has agreed to potentially buy the remaining 49 per cent minority stake in 2029 or 2030 through pre-arranged put and call option agreements. The total deal implies a price-to-earnings ratio of approximately 11x, including capital to take over the business from third-party insurers. The transaction is set to close by the end of 2025.

Prima’s shareholders, Blackstone, Goldman Sachs Alternatives, Carlyle’s Global Credit platform, and Neurone, have supported the company during its development. As part of the deal with AXA, Blackstone, Goldman Sachs, and Carlyle will fully exit their investment. Neurone will retain its stake and continue as a shareholder in Prima.

Aim of the acquisition

AXA’s acquisition of Prima is expected to nearly double the size of its Motor insurance business in Italy. The move will also expand AXA’s presence in the direct distribution channel, which generated €3.5B in premiums across eight markets in 2024, with leading positions in four.

The direct channel is seen as a growth area within the P&C Retail segment, enabling access to customer groups not fully reached by traditional distribution. With Prima’s technology platform and digital workforce, AXA aims to strengthen its direct distribution capabilities across Europe following the acquisition.

Patrick Cohen, CEO of AXA European Markets & Health, says, “We are excited to announce the acquisition of Prima, which will not only significantly enhance our position in the Italian P&C market but also bring capabilities to strengthen our direct business in European Markets. With Prima, we are acquiring a best-in-class direct player with a cutting-edge platform and a unique set of skills in serving customers.”

“Together with the Prima team, we are confident we can further scale our direct business, expanding our market reach to customer segments that naturally complement those served by our traditional distribution channels.”

George Ottathycal, CEO of Prima Assicurazioni, adds, “This is an important milestone which marks a significant recognition of the work carried out so far by the entire Prima Assicurazioni team and of the quality of what Prima has built over its first 10 years of life. We are delighted to become part of the Axa Group.”

“Axa strongly believes in our strategic plan and will provide assets and expertise which will enable Prima to further unlock its potential, leveraging expertise with a leading global insurance Group. Prima contributes a portfolio of nearly 5 million customers and deep expertise in technology development, pricing, and claims management – all key elements that have enabled us to become one of the leading motor insurance players in Italy.”

Brief about AXA

AXA is a global insurance and financial services company that offers a broad range of solutions for individuals, businesses, and institutions. The company operates across multiple areas, including property and casualty insurance, life and savings, asset management, partner services, global healthcare, and internal business support.

AXA provides insurance coverage for vehicles, homes, and liability risks, along with life insurance, retirement, and savings products. Its asset management division handles investments for both institutional and retail clients.

Through partnerships, the firm delivers services such as travel assistance and credit protection. It also offers international health insurance and virtual care services for clients living or working abroad.