Business Moves
Editor’s Note: For a comprehensive report of mergers and acquisitions for 2008, see Special Report: Agency Mergers in 2008 in the Dec. 22, 2008, edition of Insurance Journal.
Euclid Insurance, Illinois American Insurance Agency
Euclid Insurance Services Inc., has acquired Park Ridge, Ill.-based The American Insurance Agency Inc., a retail insurance agency offering commercial property/casualty, employee benefits and personal lines insurance services to clients throughout the Midwest.
The American Insurance Agency specializes in providing insurance products and risk management services to the manufacturing, wholesale, retail, construction and professional services industries. The acquisition further strengthens Euclid’s presence in those sectors while adding to Euclid’s growing personal lines client base.
American Insurance Agency Chairman Roger Hackett and President Robert McDonnell and their associates have relocated to Euclid’s offices in Itasca, Ill.
With the additional risk management, loss control and claim services offered by Euclid’s commercial lines division, existing American Insurance Agency customers can expect a greater depth of available services focusing on their specific needs, the company release said. Euclid and American have the capacity now to place business with most major insurance companies underwriting middle-market commercial risks.
Jacobson Group Adds Minneapolis Branch Office
The Jacobson Group, a national professional and human capital services firm serving the insurance, healthcare and financial services industries, announced the opening of a branch office in Minneapolis. This location will primarily provide temporary and temporary-to-hire services to local insurance, healthcare and financial services organizations.
Liz Bryan, territory manager of Jacobson Solutions, will head the Minneapolis location. Prior to this announcement, Bryan served as a client service manager out of the firm’s national headquarters in Chicago. The firm’s new office is located at 100 S. Fifth St., 19th Floor, in Minneapolis.
Machon & Machon, Insurance Services Agency Network
Park Ridge, Ill.-based Machon & Machon, Inc. has joined the ISU Insurance Services network. ISU Vice President Robert Werner said that ISU has offices coast-to-coast, with access to over 300 insurance companies and over 1,000 ISU professionals.
Robert and Kirke Machon founded ISU Insurance Services – The Machon Agency in 1975. The agency handles business and personal insurance out of its office at 838 Busse Highway in Park Ridge.
ISU International identifies itself as a growing national network of over 90 independent agencies with offices coast-to-coast and combined annual premiums in excess of $1 billion dollars.
Donegal Group, Sheboygan Falls
Donegal Group Inc. recently reported that it had completed the acquisition of all of the outstanding capital stock of Sheboy-gan Falls Insurance Co. The acquisition was approximately $12 million, which includes a surplus contribution of $8.5 million to support the future premium growth of Sheboygan Falls.
Sheboygan Falls, which operates only in Wisconsin, underwrites a broad line of personal lines products, including auto, homeowners, dwelling fire and umbrella coverages. It also underwrites commercial products, including commercial package policies, commercial fire, general liability and workers’ compensation.
Donegal Group Inc. is a property/casualty insurance holding company whose insurance subsidiaries offer personal and commercial lines of insurance to businesses and individuals in five Mid-Atlantic states — Delaware, Maryland, New Hampshire, New York and Pennsylvania; eight Southeastern states, Alabama, Georgia, Louisiana, North Carolina, South Carolina, Tennessee, Virginia and West Virginia; and, six Midwestern states — Iowa, Nebraska, Ohio, Oklahoma, South Dakota and Wisconsin.
Gallagher & Co., Treiber Agencies
Itasca, Ill.-based Arthur J. Gallagher & Co. has acquired The Treiber Group LLC and Treiber Agency Group LLC, both located in Garden City, N.Y. Transactions terms were not disclosed.
With roots going back to 1899, The Treiber Group LLC is a retail insurance broker offering risk management, commercial and personal property/casualty, life and health insurance services to their clients in the New York tri-state area. The company specializes in construction, surety, healthcare, executive risk and workers’ compensation coverages.
Treiber Agency Group LLC is a wholesale insurance broker offering excess and surplus property/casualty coverage and other specialty insurance products and services to their independent retail agency clients throughout the Northeast.
The Treiber agencies will continue to operate in their current Long Island location under the direction of H. Craig Treiber, Peter Treiber, John Treiber, Scott Treiber, John Paterno, and Lou Roca. Their retail operation will report through Douglas Brown, Northeastern Regional manager of Gallagher’s retail property/casualty brokerage operation. The wholesale operation will report through Joel Cavaness, president of Risk Placement Services Inc., Gallagher’s wholesale insurance operation.
Arthur J. Gallagher & Co., an international insurance brokerage and risk management services firm, has operations in 14 countries and does business in more than 100 countries around the world through a network of correspondent brokers and consultants.
Principal Financial Cuts 300 Jobs
Des Moines-based Principal Financial Group Inc. says it is cutting 300 jobs at its headquarters and around 250 in 45 other locations.
The insurance, banking, retirement and asset management company on Dec. 9, 2008, blamed the cuts on continued deterioration of U.S. and global markets.The cuts represents about 3.5 percent of Principal’s workforce. A statement said all affected employees would leave Dec 31, 2008. All affected employees will receive severance and career assistance. Spokeswoman Mary O’Keefe says market conditions have worsened since September despite cutting expenses.