Sapiens is Recognized as a Leading Vendor in the Global Life Insurance Solutions Market

By Prominent Independent Analyst Firm – Datamonitor

RESEARCH TRIANGLE PARK, N.C. – November 21, 2004 – Sapiens International Corporation N.V. (NASDAQ and TASE: SPNS), a worldwide provider of insurance technology solutions, announced that it has been recognized as a leading vendor in the Global Life Insurance Solutions market in a new report entitled “Policy Administration Systems in Global Life Insurance” published by Datamonitor.

The report draws on Datamonitor’s recent Insurance Technology Decision-Maker Panel survey of over 120 life insurers in Europe and North America – which showed that policy administration will be a crucial area of investment for life and pensions providers. Insurers are rapidly realizing that, to obtain lower unit costs and faster time to market, it will be essential to improve the flexibility of their back
office processing systems, by either re-engineering or replacing their technology systems.

In the report, Sapiens’ INSIGHT(tm) was described as one of the stand-out vendors that
have the potential to succeed in the market for future top-tier system replacement. Datamonitor believes the future-proofed technology offered by the vendors is likely to lead to long-term success in the marketplace.

“Sapiens Life & Pensions INSIGHT(tm), although a new system is fully componentized
and web-enabled, with the capacity to run, pensions, health and savings on a single product platform…further development of its partnership with IBM should help cement its business transformation capability” notes the report.

“We are very proud to be well positioned amongst the seven leading companies in the
market” said David Ofek, Sapiens’ Executive VP, Business Development and Marketing. “This is a direct result of our domain expertise, and working closely with our customers to bring the best solutions to market. Life & Pension INSIGHT(tm) offers a unique flexibility, accommodating new product definition, both
individual and group policies and providing compliance with tax and other regulatory changes.”

Sapiens INSIGHT(tm), installed in several insurance companies and being currently
delivered at 2 new sites, is an innovative and powerful rules-based platform, modular in its architecture and serves companies administering life insurance, pension funds, health insurance and savings plans.

The full report, “Policy Administration Systems in Global Life Insurance”, by S.
Jones, published October, 2004, is available at

About Sapiens International

Sapiens International Corporation (NASDAQ and TASE: SPNS), a member of Formula Group (NASDAQ: FORTY and TASE: FORT), 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, the United Kingdom, EMEA and Asia Pacific, and has partnerships with market leaders such as IBM and EDS. Sapiens’ clients include AXA, Liverpool Victoria, Norwich Union, OneBeacon, Principal Financial Group, Prudential, Abbey
National, ING, and Occidental Fire & Casualty among others. For more information,
please visit