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4 February 2025 Solaris, the German Banking-as-a-Service (BaaS) provider, has raised €140 million in a Series G funding round, with Japanese financial giant SBI Group leading the investment, alongside existing client Boerse Stuttgart Group. Several other strategic partners and investors also participated, providing equity-supportive measures, as reported by Finextra. As part of the deal, SBI Group will acquire a majority stake in Solaris, marking a significant change in the company’s ownership. In 2021, Solaris was valued at $1.6 billion. Based in Berlin, Solaris delivers a range of BaaS solutions, enabling companies to integrate financial services directly into their platforms. Their offerings include digital banking, payments, lending, and compliance solutions, allowing businesses to provide financial products without requiring a banking license. The new funding will help Solaris sustain operations until it achieves profitability, while also bolstering its core capital base and accelerating growth in the market. Over the past year, Solaris has undergone a significant restructuring, including raising €96 million in a Series F round in March 2023, and securing a €100 million financial guarantee to fulfill a contract with the German automobile association ADAC. However, it also sold its UK-based Engage business to Suits Me and reduced its workforce by a third, from 700 employees. “We are excited to complete our two-year transformation journey with the successful Series G funding round,” said Carsten Höltkemeyer, CEO of Solaris. “This new capital will help us maintain operations while we reach profitability and strengthen our foundation to capture emerging market opportunities.”

4 February 2025 Aligning ESG Data with Investor and Regulatory Expectations: The Role of Advanced Technology Aligning environmental, social, and governance (ESG) data with the evolving demands of investors and regulators presents significant challenges for businesses today. As noted by ACA Group, the pressure is mounting for companies to provide detailed, reliable ESG information, with regulators intensifying their efforts to combat greenwashing and ensure the authenticity of ESG claims. This growing pressure requires companies to meet the often-competing expectations of diverse stakeholders. Achieving transparency, accuracy, and comparability in ESG data remains complex within today’s fragmented landscape. A recent webcast series on ESG data highlighted key challenges: – **Diverging Priorities**: Investors and regulators often focus on different aspects of ESG performance. For example, the SEC places emphasis on carbon emissions, while European regulators may consider a broader spectrum of climate-related risks. – **Inconsistent Data Quality**: Public companies tend to provide more robust data, while smaller businesses, private companies, and niche sectors struggle to offer consistent and credible ESG information. – **Lack of Standardized Frameworks**: The absence of a universal ESG framework complicates the task of comparing ESG performance across industries and regions. – **Opaque Methodologies**: ESG rating agencies often lack transparency, leaving investors uncertain about whether the data aligns with their priorities. However, technological innovations are stepping in to address these challenges, enabling businesses to better meet the demands of both investors and regulators. Key benefits of advanced tech solutions include: – **Broader Data Coverage**: Technology platforms can aggregate ESG data from a variety of sources, including public reports, direct submissions, satellite data, and predictive models, offering a more comprehensive view of a company’s ESG performance. – **Improved Data Quality and Transparency**: Tools that emphasize data accuracy, source verification, and validation increase the credibility of ESG reports, fostering greater trust among stakeholders. – **Customization and Flexibility**: Technologies that offer customizable ESG analysis and reporting allow organizations to tailor their data presentation to meet specific regulatory requirements, industry standards, or stakeholder demands. – **Streamlined Reporting**: Automation tools and pre-designed reporting templates simplify ESG data submission, aligning it with both mandatory regulatory frameworks and voluntary standards, thus reducing administrative burdens and ensuring compliance. By embracing these advanced technologies and promoting collaboration among businesses, investors, and regulators, the alignment of ESG data becomes more achievable. This collective effort not only strengthens investor confidence but also supports broader sustainability and governance goals.

4 February 2025 How AI is Transforming AML Operations in Banking As the financial services sector evolves, the integration of AI in Anti-Money Laundering (AML) operations is rapidly gaining traction. Banks and financial institutions are adopting AI-driven solutions to strengthen their AML strategies while reducing the workload on human staff, allowing them to focus on more complex, high-risk tasks. Valley Bank is leading the way in this transformation, having introduced Tara, an AI agent developed by WorkFusion, into its AML operations. Tara, a pre-built expert in OFAC/AML compliance, enhances the bank’s ability to prevent sanctioned individuals and entities from conducting transactions, effectively safeguarding the institution. During a recent webinar, WorkFusion’s Head of Product Marketing, Kyle Hoback, spoke with Chris Phillips, Director of AML Compliance at Valley Bank, about the bank’s decision to implement Tara. Chris explained that the traditional approach of relying on manual labor to address inefficient processes is becoming obsolete. AI agents like Tara combine AI, machine learning, and GenAI technologies, with necessary human oversight, to allow for more informed and precise decision-making. The use of AI in transaction monitoring at Valley Bank has resulted in significant operational efficiency. AI agents are capable of processing large volumes of transaction sanctions alerts, which, for a bank of its size, could involve hundreds or even thousands of alerts each week. Tara excels at identifying and resolving false positives, while escalating high-risk alerts for expert review, thus optimizing the entire process. However, integrating AI into existing banking systems comes with challenges, especially when dealing with legacy infrastructures. Chris emphasized that the goal isn’t to replace legacy systems but to enhance them by introducing AI capabilities that streamline alert management. WorkFusion’s AI agents are designed to integrate seamlessly with traditional banking technologies, creating a smooth transition between the old and new systems. Governance is another critical factor in AI integration. Chris noted that thorough testing and validation are essential to ensure that these AI models operate as intended without disrupting current frameworks. WorkFusion’s AI agents undergo rigorous testing, including cross-validation and performance assessments, to ensure their reliability and effectiveness. Valley Bank’s success with Tara showcases the transformative potential of AI in AML operations. Not only does this approach accelerate processing, but it also ensures compliance by maintaining accurate records and reporting, in line with regulatory requirements such as those set by the FDIC. By embracing AI, Valley Bank and other forward-thinking institutions are significantly reducing the time spent on low-value tasks, empowering compliance teams to focus on higher-priority, risk-focused activities. This shift highlights not only technological advancement but also the strategic foresight of AML leaders in adapting to and leveraging innovative solutions.

4 February 2025 JetBlue, known for its customer-focused travel experience, has teamed up with Barclays US Consumer Bank to introduce the JetBlue Premier World Elite Mastercard®. This new premium credit card is designed to offer high-value perks to frequent flyers and everyday shoppers, enhancing the overall JetBlue travel experience. The card aims to provide exclusive benefits, including complimentary lounge access and priority boarding, for those looking to maximize their travel rewards. This partnership strengthens JetBlue’s TrueBlue loyalty program while expanding Barclays’ portfolio of premium travel credit cards. JetBlue has built a reputation for delivering an exceptional travel experience through affordable fares, comfortable seating, and excellent service. Its TrueBlue loyalty program rewards customers with points that can be redeemed for flights, upgrades, and other benefits. Barclays US Consumer Bank specializes in co-branded credit cards, offering financial products in collaboration with leading travel and retail brands. The JetBlue Premier Card comes with a limited-time welcome offer: 70,000 TrueBlue points and five tiles toward Mosaic qualification when cardholders spend $5,000 within the first three months. This fast tracks members to Mosaic status, which unlocks perks such as EvenMore® upgrades and additional free checked bags. With an annual fee of $499, and $150 for each authorized user, the card offers a range of exclusive travel perks, including complimentary access to JetBlue lounges at John F. Kennedy International Airport (JFK) Terminal 5 (launching in late 2025) and Boston Logan International Airport (BOS) Terminal C. Cardholders will also enjoy access to more than 1,500 Priority Pass™ lounges globally, as well as lifestyle benefits like Global Entry or TSA PreCheck® fee credits, priority boarding on JetBlue flights, and up to $300 in annual statement credits for Paisly® travel purchases. The Premier Card enables cardholders to earn rewards quickly with a points system that provides 6x points per $1 spent on eligible JetBlue and Paisly purchases, 2x points at restaurants and grocery stores, and 1x point on all other purchases. Additionally, cardholders will receive 5,000 bonus points each year on their account anniversary, along with a 10% bonus when redeeming points for JetBlue Award Flights. Chris Buckner, JetBlue’s Vice President of Loyalty and Partnerships, commented, “The JetBlue Premier Card is a key part of our JetForward plan, and we’re excited to introduce it as our first-ever premium credit card. Designed with feedback from our loyal Mosaic members, it enhances the benefits of our TrueBlue and Mosaic programs, offering more value both on the ground and in the air. With features that rival other top-tier travel cards, the Premier Card gives JetBlue fans even more reasons to enjoy our award-winning service while earning extra points and exclusive benefits before takeoff.” Tim Mills, Head of JetBlue Partnerships at Barclays US Consumer Bank, added, “We’re thrilled to introduce the JetBlue Premier Card, marking a major milestone in our decade-long partnership with JetBlue. This new card responds to the growing demand for premium benefits and experiences, continuing our commitment to delivering exceptional value and service to JetBlue’s loyal customers.” In addition to travel perks, cardholders also enjoy World Elite Mastercard services, including 24/7 concierge service, travel assistance, trip cancellation coverage, and exclusive lifestyle savings, providing added convenience and security for both travelers and everyday spenders.

4 February 2025 Policy Expert, a leading UK insurer specializing in home, motor, and pet insurance, has appointed Mark Wilson as its new chairman. This appointment is part of the company’s strategy to drive growth and strengthen its position as one of the UK’s fastest-growing insurance brands. Policy Expert, which serves over 1.5 million customers, has experienced rapid expansion in recent years, offering customer-focused policies and embracing digital innovation. Wilson brings with him 25 years of experience in the global insurance industry. He previously led AIA, a major insurer in Asia, and served as CEO of Aviva from 2013 to 2018. In addition to his new role at Policy Expert, Wilson is a non-executive director at BlackRock. His appointment comes on the heels of significant milestones for Policy Expert. The company recently surpassed 1.5 million policyholders across its product range, reflecting its continued growth. In September 2024, the company also secured fresh investment from global private equity firm Cinven, which acquired a 50% stake from a subsidiary of the Abu Dhabi Investment Authority (ADIA). As chairman, Wilson will play a pivotal role in shaping the company’s future direction, with a focus on expanding the customer base, refining business strategy, and exploring potential mergers and acquisitions. Steve Hardy, CEO of Policy Expert, commented, “Policy Expert is a team of passionate experts driven by results—that’s the core of our success and consistent growth. Mark embodies this entrepreneurial spirit, and we’re excited to have him on board. His extensive market knowledge and expertise will be crucial as we continue our growth journey and solidify our place as the UK’s leading insurance provider.” Mark Wilson, Chairman of Policy Expert, added, “Policy Expert is a dynamic and exciting company, competing with much larger and more established brands. Its profitable growth, customer-centric approach, and strong culture make it a standout player in the industry. I’m excited to be part of this journey and look forward to contributing to the company’s continued success as it enters its next phase of growth.”

4 February 2025 Encompass Corporation, a leader in KYC automation and CDI, has launched EC360, a cutting-edge platform designed to meet the evolving demands of the banking industry. Renowned for its expertise in automating Know Your Customer (KYC) processes, Encompass Corporation provides innovative solutions that boost efficiency and compliance standards within the financial sector. As the financial landscape rapidly changes, banks face increasing pressure to modernize due to heightened customer expectations and growing competition. The need for quick and accurate corporate client identity verification has become more critical than ever. In response, EC360 was developed to offer a more effective solution for managing KYC processes and delivering seamless customer experiences. The EC360 platform integrates a wide range of public and private data sources, offering banks a comprehensive, 360-degree view of their corporate clients. By automating the collection, organization, and consolidation of data from sources such as registries, law enforcement, and stock exchanges, the platform provides a data-agnostic approach that allows banks to customize the information they gather. This ensures compliance while enhancing operational efficiency. With EC360, the corporate client onboarding process is revolutionized, enabling fast, seamless, and accurate identity verification. The platform’s innovative features address the challenges posed by outdated manual processes and legacy systems, providing a streamlined, automated solution that ensures compliance with evolving regulatory requirements. EC360 not only transforms KYC processes but also improves decision-making by creating comprehensive digital risk profiles. The automation reduces the time and resources needed for onboarding, cutting operational processes by up to 32% compared to traditional methods. Banks can expect efficiency improvements of 21% in the first year, increasing to 59% by the fifth year of CDI implementation. One standout feature of EC360 is the EC Public Automation solution, which integrates public data and documents necessary for KYC. The platform resolves data inconsistencies and offers actionable insights, including detailed beneficial ownership hierarchies. Additionally, the EC Private Outreach solution enables secure sharing of sensitive documents via a digital vault, ensuring privacy and control over access. “Banks are overwhelmed by outdated processes and legacy systems that struggle to keep pace with increasing regulatory demands and rising client expectations,” said Wayne Johnson, CEO of Encompass Corporation. “EC360 is more than just a platform; it’s the blueprint for the future of banking. It automates the real-time collation of data and documents and supplements this with securely sourced private information from clients, resulting in comprehensive digital risk profiles that eliminate manual processes, enhance decision-making, and ensure compliance. Built with scalability, security, and reliability at its core, EC360 enables global banks to deliver consumer-class service experiences to corporate clients worldwide.” Wayne Johnson concluded, “At Encompass Corporation, our mission is to empower banks to optimize their KYC processes, strengthen risk management, and meet compliance standards—all while driving greater efficiency. With EC360, we’ve created a solution that transforms the way banks operate. As banking continues to evolve, so must the systems that support it, and EC360 is the solution for that future.”

4 February 2025 Hiscox, a leading global specialist insurer, has launched an enhanced Financial Institutions (FI) coverage, expanding its offerings to provide more comprehensive protection for businesses in the sector. This strategic move aims to solidify Hiscox’s position in the market by delivering robust insurance solutions that offer clients greater security and peace of mind. The new expansion responds to the increasing complexity of risks that financial institutions face, including evolving regulatory challenges and rising cyber threats. Hiscox aims to meet the needs of banks, insurance companies, and asset managers with a flexible, multi-line coverage solution that addresses these growing concerns. Known for its expertise in bespoke insurance solutions for businesses and high-net-worth individuals, Hiscox has earned a reputation for innovation and tailored coverage in sectors like financial services, professional indemnity, cyber, and D&O insurance. The newly launched FI product provides financial institutions the flexibility to select from up to four types of coverage: Directors’ and Officers’ (D&O), Professional Indemnity/Errors and Omissions, Crime, and Cyber. Available to institutions globally, with a focus on North America, the UK, Australia, and Europe, this expansion enables brokers to offer a comprehensive, multi-line coverage solution from a single insurer. Leading the FI product expansion is Joe Dearsley, a senior underwriter with 15 years of experience underwriting FI risks at Liberty Specialty Markets and AXIS. Dearsley will be based in Hiscox’s London office, reporting to Steven Pearsall, D&O line underwriter. Steven Pearsall, Hiscox’s London Market D&O line underwriter, commented, “We are thrilled to welcome an underwriter of Joe’s caliber as we continue to grow in the FI space. His expertise and strong reputation among brokers and clients will be invaluable as we build out our FI proposition.” Colin Buchanan, Hiscox’s casualty divisional director, added, “With our 10th anniversary of underwriting D&O last year, this move reflects our ongoing commitment to expanding our offerings. We’ve always provided D&O cover for financial institutions, but now we’re able to offer them additional options for Professional Indemnity, Cyber, and Crime coverage. Our comprehensive FI product sets us apart as one of the few London Market carriers capable of providing this broad protection, helping us respond to the growing complexity of risks faced by financial institutions.”

4 February 2025 XILO, a San Diego-based InsurTech firm offering digital quoting software for independent insurance agencies, has successfully raised $7.2 million in its Series A funding round. The round saw participation from Altos Ventures, Cove Fund, Navigate Ventures LLC, New Stack Ventures, and Splash Capital. With this latest funding, XILO’s total investment to date has reached $13.2 million, as reported by InsurTech Insights. Founded in 2017, XILO specializes in digital intake forms that integrate smoothly with Agency Management Systems (AMS) and raters, automating data entry to boost efficiency and conversion rates for insurance agencies. With the new funding, XILO plans to enhance its technology, expand its market presence, and further refine its platform to streamline workflows for independent agencies, ultimately improving the quoting process and delivering stronger digital solutions for the industry.

3 February 2025 A recent report from Capgemini reveals that 62% of insurance executives see AI and machine learning as essential for improving underwriting quality and reducing fraud. However, only 43% of underwriters consistently trust the recommendations of predictive analytics. This gap raises an important question: How can AI truly revolutionize underwriting, and what trends are driving its adoption in the InsurTech space? Symfa, a custom software development company, explores these answers. AI is transforming underwriting by automating data analysis and proposal generation, significantly reducing workload and boosting efficiency. Advanced models like GPT-4 can process vast amounts of documentation in minutes, identifying key risks and generating actionable insights. One of AI’s most powerful features is real-time data analysis. AI-driven algorithms can quickly process large datasets, identifying patterns and anomalies with remarkable accuracy. This not only enhances risk assessment but also ensures more precise decision-making. Additionally, AI-driven automation speeds up proposal processing, cutting turnaround times from weeks to just hours, allowing insurers to respond more swiftly to market demands. Accuracy is another major benefit of AI in underwriting. Machine learning models continuously refine risk assessment methods, minimizing human error and improving overall reliability. AI also enables a higher level of personalization by analyzing customer data and crafting bespoke underwriting proposals tailored to individual needs. Beyond efficiency and accuracy, AI alleviates administrative burdens by automating routine tasks. By handling time-consuming activities such as document processing and data extraction, AI allows underwriters to focus on strategic decision-making and complex risk evaluations, adding greater value to the industry. **Real-World Applications of AI in Underwriting** InsurTech companies are actively integrating AI to refine their underwriting strategies. Notable applications include: – **Fraud detection**: AI analyzes historical claims data to spot suspicious activity and prevent fraudulent claims before they occur. – **Automated risk assessment**: Insurers use AI-driven predictive modeling to assess customer profiles, ensuring more accurate pricing structures. – **Document processing**: AI-powered Optical Character Recognition (OCR) technology streamlines data extraction, significantly reducing processing time. **Key AI Technologies Transforming Underwriting** AI-powered underwriting utilizes various advanced technologies to optimize operations: – **Natural Language Processing (NLP)**: Extracts valuable insights from insurance policies and contracts, automating complex document analysis. – **Predictive modeling**: Uses historical and real-time data to improve risk assessment and pricing accuracy. – **OCR and Handwritten Character Recognition (HCR)**: Digitizes paper documents, enhancing efficiency and accessibility. – **Internet of Things (IoT)**: Provides insurers with real-time customer behavior data via smart devices and sensors. – **AI-driven automation**: Streamlines claims processing and underwriting workflows, reducing manual intervention and speeding up decision-making. **Strategic Approach to AI Integration** For insurers looking to implement AI effectively, a structured approach is vital: 1. **Process analysis**: Identify automation opportunities within data processing, risk assessment, and proposal generation. 2. **Pilot projects**: Implement AI models in limited scenarios, such as automated document analysis or risk scoring, to gauge effectiveness. 3. **Training AI models**: Use historical underwriting data to refine AI performance, ensuring consistent accuracy. 4. **Result comparison**: Evaluate AI-generated proposals against human-created ones to fine-tune reliability and decision-making accuracy. 5. **Human review**: Maintain human oversight in complex cases to ensure AI recommendations align with industry expertise. 6. **Scaling and integration**: Expand successful AI models across various underwriting functions while continuously enhancing their capabilities. 7. **Ongoing improvements**: Regularly update AI models to stay ahead of emerging risks and market trends. **Enhancing Underwriters’ Capabilities and Driving Profitability** Rather than replacing underwriters, AI enhances their capabilities. By automating repetitive tasks such as data analysis and document processing, AI allows underwriters to focus more on high-value, strategic decision-making. This shift leads to increased efficiency, improved risk assessment, and higher profitability for insurers. As AI adoption continues to grow, insurers that successfully integrate these technologies into their underwriting processes will gain a competitive edge, offering faster, more accurate, and more personalized insurance solutions.

3 February 2025 Tietoevry and UPM have announced the renewal of their strategic partnership, focusing on the development of next-generation application services powered by data and AI. The agreement, which spans an initial five years with a one-year extension option, aims to enhance UPM’s operational continuity and foster innovation through advanced technological solutions. The primary goal of this collaboration is to support UPM’s efficiency and productivity by leveraging Tietoevry’s specialized IT services, with an emphasis on AI and automation to drive cost savings and improve performance. Tietoevry will provide a range of services, including application management and development, automation, AI enhancements, and DevOps support. The company will also deliver TIPS Industry Solutions and Services, a Manufacturing Execution System (MES) designed for UPM’s various business sectors. In return, UPM will focus on utilizing AI and automation to enhance service quality and user experiences. The partnership will integrate business applications from leading technology providers such as Microsoft, Oracle, Salesforce, and SAP, alongside Tietoevry’s industry-specific MES solutions. The services will be delivered through a collaborative, one-team approach across multiple parties, ensuring seamless integration within UPM’s wide-ranging business operations. Key statements from the collaboration highlight the alignment of both companies’ strategic goals. “Tietoevry provides us with a dedicated, experienced team, and their investment in developing an end-to-end, multi-party service delivery model has been invaluable. We’re excited to explore new AI and automation solutions together to drive efficiency,” said Turkka Keskinen, CIO at UPM. “We’re delighted that our services align with UPM’s high standards, and we look forward to continuing our partnership. The potential of AI, data, and automation excites us, and we’re committed to fully realizing these benefits for UPM,” said Harri Kulmala, Head of Market Finland at Tietoevry Tech Services. “We are thrilled to deepen our collaboration with UPM, helping them navigate their digital transformation. Our AI-powered MES solution for the forest industry provides complete transparency throughout the value chain, fostering innovation while supporting our customers’ growth,” added Jyri Jokinurmi, Global Director, Business Development, Pulp, Paper, Board & Nonwoven at Tietoevry Industry.