Migdal Company Profile and Market Analysis

Migdal is a leading Israeli financial services company with a long history dating back to 1934. It was founded by a group of Jewish immigrants in Poland.

Migdal's business model is built around providing a wide range of financial services to individuals and businesses. This includes insurance, banking, and investments.

The company has a strong presence in the Israeli market, with a large network of branches and a wide range of products.

Migdal Insurance and Financial Holdings Ltd. has reported significant fluctuations in sales across various activities. In 2021, the company's sales from HM Insurance and Long-Term Savings - Life Insurance segment skyrocketed to 31.37 billion, a substantial increase from 17.25 billion in 2020.

The company's General Insurance - Automobile Property Insurance segment, however, experienced a decline in sales from 874 million in 2019 to 629 million in 2021. This trend was partially reversed in 2023, with sales reaching 781 million.

Here's a breakdown of Migdal's sales by activity over the years:

Migdal Insurance and Financial Holdings Ltd. has a diverse range of sales activities across various segments. In the fiscal period of December 2023, the company's sales from HM Insurance and Long-Term Savings - Life Insurance reached $23.07 billion.

The company's health insurance sales have been relatively stable over the past few years, with a slight increase in 2021 and 2023, reaching $2.17 billion in both years. In contrast, General Insurance - Automobile Property Insurance sales have fluctuated, with a low of $629 million in 2021 and a high of $781 million in 2023.

General Insurance - Property Divisions and Others sales have remained relatively consistent, ranging from $314 million to $328 million. The company's sales from General Insurance - Compulsory Vehicle Insurance have also shown some variability, with a low of $408 million in 2022 and a high of $474 million in 2023.

Here's a breakdown of the company's sales by activity in the fiscal period of December 2023:

Overall, Migdal Insurance and Financial Holdings Ltd. has a complex and diversified range of sales activities, with some segments showing more stability than others.

Migdal's leadership team is composed of experienced professionals who have been with the company for various lengths of time.

The CEO, Yossi Ben Baruch, has been with the company since 2022-06-30 and is 54 years old. He is joined by Tal Cohen, the Director of Finance/CFO, who is also 50 years old and has been with the company since 2022-06-30.

The company's board of directors includes a diverse group of individuals with a range of ages and experience. Shlomo Eliahu, the Chairman, is 89 years old and has been with the company since 2018-06-17. He is joined by other board members, including Gavriel Picker, Linda Ben Shoshan, Shlomo Handel, Carmi Gillon, Ron Tor, Hanan Melcer, Avraham Dotan, and Keren Bar Hava, each with their own unique background and experience.

Here is a list of the current members of the board of directors, including their title, age, and the date they joined the company:

Meet the leaders of Migdal Insurance and Financial Holdings Ltd. Yossi Ben Baruch is the CEO, having taken on the role as of June 30, 2022.

Yossi Ben Baruch is 54 years old and has been leading the company since June 30, 2022. Tal Cohen, the Director of Finance/CFO, is also 50 years old and took on the role on the same date.

The company's Chief Investment Officer, Guy Fischer, is still unknown, with no age or start date provided. Dalit Weichselbaum, the Investor Relations Contact, is 54 years old but has no start date listed.

Here's a breakdown of the key leaders:

Noam Hauslich, the General Counsel, is also 50 years old and took on the role on June 25, 2021.

The board members of Migdal Insurance and Financial Holdings Ltd. are a diverse group of individuals with a range of ages and backgrounds.

The Chairman of the board is Shlomo Eliahu, who has been in the position since 2018.

The board members are comprised of Chairmen and Directors, with some members holding both roles.

Hanan Melcer, the current Chairman, took over the position in 2022, succeeding Shlomo Eliahu.

The ages of the board members range from 51 to 89 years old.

Here are the board members with their titles and ages:

The board members have a range of experience, with some members having been in their roles since 2013.

Migdal is owned by a variety of shareholders, with Migdal Insurance and Financial Holdings Ltd. being the primary shareholder.

The largest shareholder is Shlomo Eliahu, who holds 54.75% of the company's equities, valued at 1.086 billion ILa.

Migdal's shareholders also include several mutual funds, such as Phoenix Provident Fund Ltd., KSM Mutual Funds Ltd., Migdal Mutual Funds Ltd., and Psagot Mutual Funds Ltd.

These mutual funds hold a total of 13.17% of the company's equities, valued at 342 million ILa.

Here is a breakdown of the top shareholders:

Migdal also has some external shareholders, including The Select Sector SPDR Trust, which holds various sector funds, and Nova Ltd., which holds a significant stake in the company.

Migdal's competitors in the Israeli insurance market include Clal Insurance and Menorah Insurance, both of which offer a range of financial services to individuals and businesses.

Clal Insurance, in particular, has a strong presence in Israel and offers a range of insurance products including life, health, and property insurance.

Migdal Group has been actively investing in various companies, with notable investments made in Velox, Doral Energy Group, and Diagnostic Robotics. Velox, a company founded in 2012, is based in Rosh Haayin, Israel.

One of the earliest investments was made in Velox on April 2, 2024. Diagnostic Robotics, founded in 2017, is based in New York City, United States.

Migdal Group's investment portfolio spans across different sectors and business models. In fact, the company has reported over 56.8K business models and 2.9K sectors.

Here's a breakdown of some of Migdal Group's notable investments:

Migdal Group has made over 203K+ acquisitions, showcasing its extensive reach in the market.

Contribution and subrogation are two related but distinct concepts in insurance law. Equitable subrogation allows an insurer that paid coverage or defense costs to be placed in the insured's position to pursue a full recovery from another insurer who was primarily responsible for the loss.

A claim for equitable subrogation requires the plaintiff to show that the other insurer was primarily liable for the loss and that the moving party's equitable position is inferior to that of the second insurer. This is in contrast to equitable contribution, which applies to apportion costs among insurers that share the same level of liability on the same risk as to the same insured.

To plead a claim for equitable subrogation, plaintiffs must plead facts that would allow the reasonable inference that the defendant is liable for the misconduct alleged. However, courts must accept as true all well-pleaded factual allegations in the complaint, and "draw[] all inferences in the plaintiff's favor."

Contribution is a crucial concept in the context of subrogation, and it's essential to understand how it works.

In a contribution scenario, multiple parties are responsible for paying a debt or liability. The parties may have different levels of responsibility, and the amount each party must pay is determined by their proportionate share of the liability.

For example, if two parties, A and B, are jointly liable for a debt of $100, and A is 60% responsible, while B is 40% responsible, A will pay $60 and B will pay $40.

The party responsible for paying a debt or liability first has the right to seek contribution from the other parties.

Subrogation is a theory of recovery that allows an insurer to pursue a full recovery from another insurer who was primarily responsible for a loss. Under California law, equitable subrogation requires the moving party insurer to show that the other insurer was primarily liable for the loss and that their own position is inferior.

A claim for equitable subrogation must plead "only enough facts to state a claim to relief that is plausible on its face", according to Bell Atl. Corp. v. Twombly. To be facially plausible, the claim must plead facts that would allow the reasonable inference that the defendant is liable for the misconduct alleged.

The elements of equitable subrogation include showing that the other insurer was primarily responsible for the loss and that the moving party's position is inferior. However, Migdal's complaint does not allege that the ICSOP policy is excess to the Migdal policy, nor does it allege that ICSOP or National Union is primarily responsible for the losses suffered by Tower.

Courts must accept as true all well-pleaded factual allegations in the complaint, but "the tenet that a court must accept as true all of the allegations contained in a complaint is inapplicable to legal conclusions", according to Iqbal v. Ashcroft. This means that Migdal's failure to plead the necessary elements of equitable subrogation is a fatal flaw to its claim.

Equitable subrogation is different from equitable contribution, which applies to apportion costs among insurers that share the same level of liability on the same risk as to the same insured.