Private equity firm Thomas H. Lee Partners LP has taken a majority stake in Carpe Data, an insurance technology company that provides data services to insurance companies, the companies announced Monday.
The terms of the investment were not disclosed.
“Carpe Data has been looking for a financial partner for some time,” said Max Drucker, founder and CEO of Santa Barbara, a California-based company that provides insurance and claims data to insurance companies.
The company, which was founded in 2016, will use the capital to invest in sales and marketing and product development, he said.
THL has investments in the life insurance sector and has had investments in property / accident in the past, says Edward Shahnasarian, a director at Boston-based THL.
The company usually keeps its investments for about five years, he said.
“One of the most interesting themes in technology is the adoption of alternative data by insurance companies,”; Mr. Shahnasarian. “It will turn into a must, and property / accident carriers will need alternative data to compete in the market.”