January 16, 2003 University Park, IL - Applied Systems, Inc., the leading automation solutions provider for the property and casualty insurance industry, announced today that it has reached an agreement to sell its Rating Division to MI-Assistant.
The agreement between the two companies reflects the current state of the comparative rating industry as a whole. "Economies of scale and carrier relationships are the two ingredients needed to make a rating business model work successfully," stated James P. Kellner, CEO and Chairman of Applied Systems. "Due to the increasing complexity of providing accurate comparative rating, the effort to provide and maintain this capability has taken resources that could be better utilized by Applied Systems, Inc." Kellner added, "A company like MI, that has obtained these economies of scale, is better suited to operate efficiently and provide high quality rating to customers."
"This acquisition provides a great opportunity for agencies to re-establish comparative rating as the preferred agency workflow," stated Scott Deetz, CEO of MI-Assistant. "We look forward to serving the needs of our new customers. MI is firmly committed to providing the most accurate desktop and web-based comparative rating solutions available, backed by professional, friendly customer service. In addition, this acquisition allows MI to expand our geographic offering, and form even closer partnerships with insurance carriers."
Current Applied Rating customers are being notified of the change and provided options that are best suited for their individual business. Depending on the state(s) they utilize Applied Rating Services in, these customers will be offered similar services through MI-Assistant or an alternative rating vendor that has agreed to work through the conversion process in a seamless, non-intrusive fashion.
"Providing our customers with the quality tools they need to effectively run their business is our # 1 priority. We are researching options to provide all former Applied rating customers with suitable alternatives. We want to avoid any unnecessary interruption to their daily business, while ensuring that they will be provided the same level of service that they received as an Applied Rating customer," said Kellner.
About MI-Assistant: MI-Assistant is a results-focused solution provider working hand in hand with the independent insurance industry. Since the company's beginning in 1984, MI has been dedicated to providing quality solutions and excellent customer service to the independent insurance industry. MI currently provides automation solutions to more than 2,000 agencies as well as to insurance carriers. The solutions MI provides are developed to demonstrate results and assist in achieving the business objectives of the client.
About Applied Systems: Applied Systems is the leading provider of automation solutions for the property and casualty insurance industry. Since 1983, the company has developed software for independent insurance agents, brokers, managing general agents, and insurance companies, as well as banks and other financial institutions with insurance operations. Applied has helped more than10,000 agencies achieve new levels of success using its leading management systems, The Agency Manager® and The Agency Manager® Vision Series™. Other innovations such as The Diamond System™, a policy processing system for insurance carriers, and developments in electronic data interchange have also contributed to Applied's position as the industry's technology frontrunner. Combined with its consulting services, and third party integration, Applied Systems automates insurance transactions at every level of distribution, from customer to carrier. For more information, visit: www.appliedsystems.com.
