Deal brings FortressFire’s property-level wildfire intelligence platform under FM while allowing it to operate as an independent division
Commercial property insurer FM has acquired FortressFire, a company that uses machine learning and physics-based modeling to assess and manage wildfire risk, the companies announced Tuesday. Financial terms were not disclosed.
FortressFire’s platform provides wildfire risk information at the individual property level and is designed to help insurers, property owners and other stakeholders identify and reduce potential losses. Its services include aerial wildfire reports, monitoring, analytics, ground inspections and mitigation assessments.
Following the acquisition, FortressFire will operate as an independent, wholly owned division of FM and will continue serving insurers, reinsurers, brokers, real estate professionals, lenders and property owners under its existing brand and leadership.
“FortressFire shares FM’s core belief in the power of data-driven, location-based risk mitigation and protection measures to help clients better understand and manage wildfire exposure,” said Malcolm Roberts, chairman and chief executive officer of FM. “The FortressFire team brings powerful tools to assess and mitigate wildfire risk, and we are excited to welcome them to the FM family.”
FortressFire was founded by Michael Ashker, who said the company’s approach focuses on preventing wildfire ignition and using scientific analysis to help properties become more insurable.
“For years we’ve argued that the best risk management is ignition prevention—and that the path to insurability runs through science,” said Ashker, founder, chairman and chief executive officer of FortressFire. “To have an engineering-focused insurer of FM’s caliber put its capital and conviction behind that thesis is the strongest possible validation of what our team has built.”
The acquisition comes as wildfire risk has increased in many regions, creating challenges for property owners and insurers. FortressFire’s technology uses fire physics to quantify ignition risk and provide mitigation recommendations that can be verified and monitored over time.
FM said the acquisition combines FortressFire’s property-specific wildfire data with its engineering, scientific research and financial resources. The company has nearly two centuries of experience in property risk management and provides insurance and loss-prevention services to large commercial property owners, including Fortune 500 companies.
