Based in Brazil, DM10 is a marketplace that is said to connect independent distributors with the best life insurance and pension plan products
DM10 to be acquired by XP. (Credit: Adam Radosavljevic from Pixabay)
XP, a Brazil-based technology-driven financial services platform, has agreed to acquire insurtech company DM10 for an undisclosed price in a move to bolster its presence in the insurance sector.
Based in Brazil, DM10 is a marketplace that is said to connect independent distributors with the best life insurance and pension plan products.
Established in 2007, DM10 has a presence across Brazil and has a network of nearly 1,000 active brokers. Following the acquisition, the brokers will now have access to the product platform, commercial support, and technology of XP.
The insurtech company is said to be the first in the industry to provide a completely digital, open architecture platform.
For the company, the transaction is expected to speed up its access to high-quality investments in the insurance world.
DM10 CEO comments on the acquisition by XP
DM10 CEO Daian Moura said: “We have always believed in the value our partner brokers provide to clients, which has differentiated our network in recent years. I have no doubt that they will continue to be key agents and now, together with XP, we can improve the financial lives of millions of Brazilians who are currently investing in unsuitable, inefficient and expensive products.”
Through the deal, XP expects to improve its distribution network in the insurance segment. The Brazilian financial services provider has been engaged in the insurance industry through its subsidiary XP Seguros, which is an insurance broker that provides pension plans and life insurance products.
XP Seguros head Roberto Teixeira said: “We want to make the same transformation in the Private Pension market as we did in investments. Looking ahead, we believe that we can continue to grow and gain market share by further democratizing access to superior products and leveraging the company’s distribution reach.
“In order to achieve that, XP will continue to invest heavily in technology to improve the digital experience of clients and brokers, offering full integration between Insurance products and the investment platform.”
The closing of the deal is subject to compliance with some precedent conditions, including prior authorisation from the Central Bank of Brazil.