Menora Insurance Awards Sapiens $5.2 Million Contract

Building Comprehensive Next-Generation Internet-Based Life, Pension, Health Insurance and Financial Management system

Monday November 17, 2:03 am ET

RESEARCH TRIANGLE PARK, N.C.--(BUSINESS WIRE)--Nov. 17, 2003-- Sapiens International Corporation N.V. (Nasdaq:SPNS - News; TASE:SPNS) today announced that Menora Insurance, one of Israel's largest insurance companies, signed a multimillion dollar contract to implement a comprehensive, Internet-based Life, Pension, Health Insurance and Financial Management system. The solution will shorten time to market, increase cost-efficiencies and enable customer-centric management.

Sapiens will help transform Menora's legacy business systems into an Internet-based, customized portal for agents and integrate disparate systems. The comprehensive Life, Pension and Health Insurance system will allow Menora to offer integrated financial products. It will include product management, individual and collective policy administration and funds revaluation with unit link management and full integration with automated medical underwriting and Point of Sale management systems.

The base platform for Menora's new Life & Pension Insurance system is an existing Sapiens eMerge-based framework that has been in operation at Allianz Suisse. It will now be enhanced by Sapiens' insurance domain experts, together with Menora's business and IT teams and IBM Global Services in Israel. The new comprehensive Life & Pension Solution will become part of the INSIGHT suite of Sapiens' Insurance solutions, to be introduced by Sapiens and IBM jointly in the Israeli Life and Pensions marketplace.

"Sapiens' leading-edge Life & Pension insurance solution will provide significant business advantages in an increasingly demanding market," said Ari Kalman, CEO of Menora Insurance. "We are convinced that the highly flexible solution presented by Sapiens was the best offering to support our ability to gain market leadership in the converging financial services marketplace. Sapiens' proven domain expertise, rich product functionality and long-term commitment to leading technology innovation in the insurance industry are the major reasons for our decision."

"The ability of Menora to become the leader in their Life & Pension business will enable them to differentiate the company in today's competitive market and put them in the best position to adapt quickly to market and regulatory changes while bringing added value to their customers," said Ruvik Barkan, Managing Director, Sapiens Israel.

Itzick Sharir, President and CEO of Sapiens International Corporation added: "We are proud of being selected for this long-term partnership. Life & Pension INSIGHT, based on the outstanding heritage of Allianz together with the vision of Menora, will become one of Sapiens' major product offerings to the Insurance Market globally. I believe it is one of the most comprehensive, modular and flexible solutions available today to the Life & Pensions Sector."

About Sapiens
Sapiens International Corporation (Nasdaq and TASE:SPNS), a member of the Formula Group of companies, is a leading global provider of proven IT solutions that modernize business processes and enable insurance organizations to adapt quickly to change. Sapiens' innovative solutions are widely recognized for their ability to cost-effectively align IT with the business demands for speed, flexibility and efficiency. Sapiens operates through its subsidiaries in North America, United Kingdom, EMEA and Asia Pacific and has partnerships with market leaders such as IBM and EDS. Sapiens' clients include Allianz Group, AXA, Liverpool Victoria, Menora, Norwich Union, OneBeacon, Principal Financial, Prudential, Abbey National, ING, Occidental Fire & Casualty, among others. For more information, please visit http://www.sapiens.com.

(a) Association of Friendly Societies Yearbook 2003-2004, funds under management. Except for historical information contained herein, the matters set forth in this release are forward-looking statements that are dependent on certain risks and uncertainties, including such factors, among others, as market acceptance, market demand, pricing, changing regulatory environment, changing economic conditions, risks in new product and service development, the effect of the Company's accounting policies and other risk factors detailed in the Company's SEC filings.

Contact:
Padilla Speer Beardsley
Rebecca Green, 212-752-8338
rgreen@psbpr.com