According to Gilad Atzmon, the term apartheid isn't exactly correct... because it doesn't go far enough:

"But in truth,  Kerry is actually slightly wrong – Israel is not an Apartheid State. It has never been so and never will  be. Apartheid is a racially driven system of exploitation. But Israel doesn’t want to exploit the Palestinians, it wants them gone!  Israel is racist, nationalist and an ethnic cleanser. The Jewish State is not an Apartheid state, instead it  follows the Nazi model of ethnic purity. That realisation can really upset the progressive Jews."

http://www.veteranstoday.com/2014/04/29/jews-and-terminology/