As corporate payments firm WEX looks to strengthen its presence in the insurance sector, the company revealed a new partnership to help in the process.
On Thursday (July 21), WEX announced a collaboration with Aquarium Software, a global insurance technology company that focuses on niche insurance segments, like pets and travel. WEX will provide its virtual payments solution for Aquarium to provide end-to-end payments for its business clients; their partnership will first begin with Aquarium's pet insurance business customers.
According to the firms, their collaboration means WEX not only expands its presence in the U.S. insurance industry but can now enter the European insurance sector as well.
"At WEX, we continuously seek new ways to grow and expand our business offerings so that we can provide our customers with more powerful and effective solutions," said WEX SVP and GM for Virtual Payments Jim Pratt in a statement. "Insurance is a key growth industry for WEX, and we are truly excited about our cooperation with such an established technology innovator like Aquarium."
A deal with Aquarium Software follows just weeks after WEX received approval from the Federal Trade Commission to move forward with its proposed acquisition of Electronic Funds Source. The takeover, first announced last October, is worth $1.4 billion and, according to analysts, will help WEX remain resilient in its fleet and commercial payments operations amid declining oil prices.
WEX is expected to release its Q2 2016 earnings report next week.