Partners Group, a global private markets firm, announced that its portfolio company Foundation Risk Partners (FRP), a US insurance brokerage, achieved a 120 basis points (bps) increase in EBITDA margin through an AI transformation program. The program, delivered in collaboration with Version 1, another Partners Group portfolio company specializing in AI-first digital transformation, generated $10 million in EBITDA impact for FRP.
The initiative focused on leveraging FRP's proprietary policy-level dataset to build two agentic AI solutions. The first solution reduced the average policy processing cycle for new clients by 94%, leading to a doubling in close rates. The second automated the human-intensive policy checking task. The program was executed by a seven-person team augmented by Version 1, with the first use case moving from concept to production in just 14 weeks.
Partners Group acquired both FRP and Version 1 in 2022, recognizing growth tailwinds in the US insurance brokerage sector and the AI-first digital transformation services market in the UK and Ireland. Since acquisition, both companies have doubled their revenues, demonstrating strong performance.
Wolf Scheider, Head of Private Equity at Partners Group, commented: "We have delivered synergies within our own portfolio to create tangible value, in this case pairing a US insurance brokerage with an AI technology partner in the UK and Ireland. Through this, we have turned a clean dataset into USD 10 million EBITDA uplift and real, measurable growth. We continue to look for opportunities to leverage AI expertise across our portfolio companies."
This collaboration highlights how AI can drive meaningful financial impact within private equity portfolios. By pairing companies with complementary strengths, Partners Group is demonstrating a model for operational value creation that goes beyond traditional cost-cutting or revenue synergies. The success at FRP could serve as a blueprint for other private equity firms seeking to integrate AI into their portfolio companies.
For the insurance industry, this case illustrates the potential of AI to streamline operations, reduce processing times, and improve client outcomes. The 94% reduction in policy processing time and the doubling of close rates underscore the transformative power of AI in a sector traditionally reliant on manual processes.
The implications extend beyond Partners Group and its portfolio. As AI continues to evolve, businesses across sectors may look to similar partnerships to unlock value from their data. The speed of implementation—14 weeks from concept to production—demonstrates that AI projects can be deployed quickly with the right expertise and data foundation.
Partners Group, with over $186 billion in assets under management and around 2,000 professionals, is one of the largest firms in the global private markets industry. The firm has a presence in the Americas, with its heritage in Switzerland. This announcement underscores the firm's commitment to leveraging technology and operational expertise to drive growth in its portfolio companies.
For more information about Partners Group, visit www.partnersgroup.com or follow on LinkedIn. The original press release is available on www.newmediawire.com.
