Davies bets big on North America – and even bigger on AI

David Smith ; 2025-11-25 05:38:04

As it prepares to close its biggest deal to date, the firm is also doubling down on agentic and generative AI

Claims

By Gia Snape

Dec 04, 2025Share

Davies’ largest-ever acquisition – its deal to purchase SCM Insurance Services, Canada’s largest claims processing and risk solutions provider – comes at a pivotal moment for the UK-based professional services and technology group.

While the transaction cements its leadership position in Canada’s insurance services sector, CEO Dan Saulter (pictured) toldInsurance Businessthat the move is inseparable from the company’s wider push into advanced technology and AI.

“We don’t see tech and AI as optional,” he said. “They’re an imperative.”

Accelerating AI adoption in claims

Technology and AI investment represent a core pillar of Davies’ Vision 2030. Earlier this year, the firm announced major upgrades to its ClaimPilot platform, including new automation and agentic AI capabilities.

Davies is already seeing early gains from applying generative AI to targeted parts of the claims journey, with some processes running up to 10 times faster. The technology, Saulter explained, frees employees to focus on complex and high-value tasks while automation handles simpler, repetitive steps.

“Claims businesses that don’t invest in automation are going to lose,” Saulter said. “And we want to win.”

But progress comes with hurdles. A major one: the legacy systems accumulated through a decade of acquisitions.

“When you buy tens of businesses over 10 years, you inherit their technology,” Saulter said. “You can’t just push agentic AI into everything. You have to sort out the legacy systems first. That’s why we’re concentrating investment in our ClaimPilot product suite.”

Part of the urgency stems from the fact that client expectations across both personal and commercial lines have risen sharply. Balancing those expectations with the legal and contractual realities of claims decisions remains a core challenge.

“People know how to complain nowadays, in a way they didn’t 20 years ago,” Saulter reflected. “The bar for service is higher.”

The North America play: Behind Davies’ SCM deal

The SCM acquisition, expected to close within weeks, brings more than 1,500 SCM employees into Davies, boosting the global workforce to around 9,500 and raising annual revenues to roughly $1.4 billion.

More significantly, it gives Davies full nationwide coverage in Canada and adds market-leading claims and risk capabilities to its expanding North American footprint.

Canada was the next logical frontier for the fast-growing professional services and technology firm. Saulter said the transaction fits into a broader plan to scale both geographically and technologically.

“We were already in Canada to a small extent through forensic accounting, consulting, and technology services,” he said. “But we hadn’t gotten on the ground processing claims, doing the core services we deliver across the rest of North America and Europe. Entering a competitive market like Canada required the right partner, and SCM is the out-and-out number one.”

Discussions between the companies date back years, culminating in a structure that enabled SCM’s private equity owners, Warburg Pincus and TorQuest Partners, to reinvest in Davies as minority shareholders.

Canada’s scale, culture, and close ties to the London Lloyd’s market make it a natural fit for Davies. Saulter described it as “a large, vibrant insurance market” with more than 40 million people and a strong international footprint.

“A lot of international clients in SCM’s business are tied to Lloyd’s, and many of our global clients writing business in Canada want us to have a full suite of services across North America,” he said. “This deal builds out that picture.”

What’s next for Davies?

While M&A has been a defining feature of Davies’ growth over the past decade, Saulter emphasizes that integration is now the immediate priority. Looking toward 2026, Saulter is most energized by two priorities: integrating SCM and accelerating the ClaimPilot roadmap.

“We’ll be very focused on getting the SCM integration done correctly and welcoming our new colleagues,” he said. “We’re not running around today trying to close lots more deals.”

Still, Davies’ Vision 2030 plan calls for continued growth through acquisitions and organic expansion. Saulter expects the company to pursue both geographic reach and diversification of services in the medium term.

“You’ll see us servicing more countries and adding more solutions in markets we’re already in,” he said. “Canada is a great example. This acquisition expands our on-the-ground services significantly.”