Oracle has bought insurance specialist, Skywire Software's application business. The move closely follows the company's planned purchase of AdminServer, which makes policy lifecycle management software for the insurance industry.

Skywire Software has 1,450 customers and, in addition to insurance companies, the company also focuses on the legal and financial services verticals.

Oracle said the company's specialised technology, which includes software for connecting insurance agents, brokers and carriers, will complement its own insurance, CRM and content management products.

The deal is expected to close in the second half of this year, and does not include Skywire's business process outsourcing business or its iWave IT automation software, Oracle said.

Oracle previously announced the creation of a new global business unit focused on insurance. Skywire's technology and workers will be moved into this division along with AdminServer's.

Analysts have predicted Oracle's push into insurance will kick off a wave of consolidation and responsive moves from the company's competitors, such as SAP.

A rich prize is at stake. The insurance software market is worth between US$2 billion and $4 billion, said Matthew Josefowicz, director of the insurance practice at the research firm Novarica.

Oracle's announcement comes just days before its scheduled year-end earnings call, and about a week after it pushed through a number of significant number of price hikes on its products.