Palantir Technologies Inc. ( PLTR ) shares are trading higher premarket Friday.

Sompo, a subsidiary of the company responsible for the insurance and reinsurance operations of Sompo Holdings outside of Japan, has formed a partnership with Palantir ( PLTR ) for AI solutions.

The contract extends Palantir’s partnership with Sompo Holdings in Japan, enabling the use of Palantir Foundry and the Artificial Intelligence Platform (AIP) to enhance decision-making in pricing, underwriting, and risk management.

Read: Palantir Leader In ‘Rapidly Emerging, Diverse Enterprise AI Market,’ Says Analyst, But Prefers To Stay On Sidelines: Here’s Why

Marine Insurance, a segment in which Sompo has held a prominent position in Brazil since 2017, is the first area where the software has already been integrated as a solution in the pricing processes.

Eduardo Esteve, VP of Latin America, Palantir Technologies ( PLTR ) stated, “This important agreement with Sompo is Palantir’s first partnership in the Brazilian insurance sector and reflects our consistent investment and growing local presence in the country.”

“Our AI operating system now powers many of Brazil’s most important organizations, from government public health and education agencies to companies in the retail and tourism sectors.”

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This integration aims to deliver efficiency gains and faster response times for Sompo’s customers and partners. The focus is on leveraging Data Analytics and AI to create intelligent systems that enhance pricing accuracy and operational efficiency, benefiting both insurers and customers.

Rodrigo Caramez, Sompo’s Chief Strategy Officer, said, “Historically, the search for efficiency involved automating simple, repetitive, and high-volume processes. This still applies, but with the new technological frontier applied to the use of data and AI, and the availability of simpler tools with natural language, we can expand this search for efficiency to the organization’s highly specialized core processes.”

Investors can gain exposure to the stock via REX AI Equity Premium Income ETF ( AIPI ) and Global X Funds Global X Defense Tech ETF .

Also Read: Palantir’s Alex Karp Defends Military Partnerships, Stands Firm on Pro-Western Stance: Report

Price Action: PLTR shares are up 0.38% at $32.05 premarket at the last check Friday.

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.