The next time you report a fender bender, your adjuster might be using technology from Solera to process the claim. Solera Holdings develops software for the auto insurance industry. Its Audatex software automates such processes as auditing, claims management, and damage estimation. Solera serves insurance companies worldwide; other customers include auto repair shops and independent assessors. Its Hollander subsidiary provides the Hollander Interchange parts catalog, in print or electronic form, to auto recyclers as an inventory management supplement. In Brazil and Mexico, it operates an online marketplace for salvage vehicle sales. Solera gets almost 60% of its sales in the Europe/Middle East/Africa region.
The company has only seen its revenue and profits grow since it became a public company in 2007. Overall revenue grew 8% in fiscal 2011 and profit grew by 79%. Its goal is to reach revenue of $1 billion by 2014.
Solera has grown by expanding its presence through acquisitions. In 2012 the company bought assets from Inventory Technology Systems (ITS) through subsidiary Hollander. The deal added logistics software used to control, track, and account for recycled parts inventory at salvage yards. Also that year it bought Actual Systems, a global provider of operations management systems for parts recycling yard operators. The purchase strengthened Solera's parts-related strategy in North America and overseas, as Actual Systems had a presence in Australia, the UK, the Netherlands, Ireland, and Spain. It also acquired License Monitor a developer of driver violation monitoring software designed to help operators of government and commercial vehicle fleets to quickly track driver violation activity and license status changes. Additionally Solera bought substantially all the assets of US-based PS Holdings, which provides a cloud-based service for locating postconsumer original equipment parts for the vehicle repair market. PS Holdings' clients consist mainly of US insurance carriers.
In 2011 it bought a majority stake in Sinexia Corporacion Tecnologica, a Spanish firm that makes software for processing property and casualty insurance claims, and K&S Beheer B.V., a Netherlands-based company that makes collision repair shop management software.
Also that year Solera made some US-based acquisitions, first buying Utah-based body shop management system software maker New Era Software. In mid-2011 it paid Altegrity about $520 million for Explore Information Services to boost its profile as a seller of re-underwriting and analytics data products for property and casualty insurers. In September it bought Michigan-based See Progress, which makes software that keeps insurers and customers informed on vehicle repairs through text and photos.
In 2010 Solera announced a plan to invest $150 million into expanding its products and services in the US, Canada, and The Netherlands. It earmarked $40 million for new acquisitions for Hollander Interchange and $10 million for new technology. As part of the initiative, the company acquired Netherlands-based Market Scan Holding, a provider of data analytics and software to the Dutch insurance industry. It also made a minority investment in Digidentity, another Dutch company, which provides cloud-based certificates for authenticating online identities. The certification process is an important part of the back-office operations of ABZ, Solera's operating subsidiary in The Netherlands. The investment strengthened ABZ's core offerings by adding increased security to the claims process. – less