Partners Seek Court Buyout as Frozanfar-Backed Insurtech Fails
A digital insurance platform co-owned by senior finance official Mehran Frozanfar has collapsed with 1 million NIS in losses, prompting his partners to seek a court-ordered buyout.
A digital insurance comparison platform co-owned by Mehran Frozanfar, former Budget Director at the Ministry of Finance and economic adviser to the Chief of Staff, has accumulated over 1 million NIS in losses and ceased operations. On Tuesday, Frozanfar's three partners in the Allsureance company, the Alush family, filed a request with the Economic Department of the Tel Aviv District Court demanding a buyout through a BMBY (Buy Me Buy You) mechanism.
According to the court filing, Frozanfar acquired a 50% stake in Allsureance in March 2023 for 1.2 million NIS, following an initial investment of 750,000 NIS by his partners in developing the platform. The petitioners state that the company failed to generate sufficient commercial activity to cover expenses, resulting in cumulative losses of approximately 1 million NIS for 2023 and 2024. To cover liabilities, the company took out loans totaling 542,000 NIS from Bank Hapoalim in 2024, with only the Alush family acting as guarantors.
Breakdown of Operations and Accumulated Debt
A board meeting held in August 2024 to discuss liquidation and asset sales ended without resolutions. The petitioners noted that marketing activities have ceased, the website has been shut down, and the company no longer employs staff or generates revenue. In June 2025, around the time Finance Minister Bezalel Smotrich announced his intention to appoint Frozanfar as Budget Director—an appointment that was delayed until January 2026—the partners informed him that the website was closed and losses were mounting. Meanwhile, the Alush family injected approximately 100,000 NIS to service the debts, while Frozanfar allegedly refused to shoulder any of the financial burden.
The Alush family offered to buy out Frozanfar's share at the end of 2024 for his initial investment of 1.2 million NIS minus 50% of the company's debts, but the offer went unanswered. Although Frozanfar proposed a restructuring plan in January 2026 as he prepared to assume his senior treasury post, his partners claim he subsequently cut off communication. The petitioners argue they have been oppressed as shareholders and are asking the court to enforce a separation via an auction mechanism.
