Business Moves

December 21, 2020

Truist

Charlotte, N.C.-based Truist Insurance Holdings reported that it will complete five insurance acquisitions this quarter, adding more than $100 million of combined annual revenue to its wholesale division.

The most recent of these transactions is the acquisition of Wellington Risk Holdings Inc., an insurtech that operates as a managing general agent in the admitted residential property markets, with a strong presence in Texas.

Wellington has developed a virtual marketplace offering that includes an agent portal for placing residential property insurance business.

Wellington Risk Insurance Agency underwrites and administers residential property insurance for carriers including Agricultural Workers Mutual, Aventus, Incline Casualty, Palomar Specialty, State National, Transverse, Trisura Insurance and Trisura Specialty.

Wellington will retain its name and will join forces with AmRisc, Truist’s MGA that underwrites catastrophe and specialty insurance for commercial property.

The insurance firm, a subsidiary of Truist Financial Corp. has already closed on three transactions this quarter: W. Brown & Associates Property & Casualty, an Irvine, Calif.-based surplus lines broker and MGA; Specialty Risk Associates, a Shreveport, La.-based surplus lines broker and MGA; and Program Insurance Management of Sarasota, a Sarasota, Fla.-based managing general underwriter with specialized programs for industrial chemical manufacturers and distributors.

In addition to Wellington, Truist Insurance Holdings said it expects to close a transaction with Fidelis Group Holdings, a Covington, La.-based provider of specialty insurance products for the marine and cargo industries, by year end.

Truist Insurance Holdings, formerly BB&T Insurance Holdings, operates more than 250 offices through its subsidiaries: McGriff (McGriff Insurance Services and McGriff, Seibels & Williams); CRC Insurance Services; Crump Life Insurance Services; AmRisc; and its premium finance companies (AFCO Credit Corp., Prime Rate Premium Finance Corp., and CAFO).

Crum & Forster, Aspen

Specialty insurer Crum & Forster has acquired the renewal rights of Aspen’s U.S. food and beverage product recall insurance portfolio written primarily through the excess and surplus lines market. The company said the Aspen underwriting team servicing this portfolio, led by Nicky Alexandru, has joined C&F.

Henry MacHale, portfolio director for First Party & Specialty at Aspen Insurance, said as his company exits the product recall space, it will continue to offer other Crisis Management products from its U.K. entities. He said the product recall business has contributed to positive underwriting results since 2016.

Aspen has been reviewing its portfolio and streamlining its operations. In the summer, Aspen sold its surety operations to Amynta Group.

As part of that transaction, Amynta said it would partner with Crum & Forster to provide the underwriting capacity for the business and assume Aspen’s in-force surety portfolio.

Last November, Arch Reinsurance said it would buy Aspen Reinsurance’s global credit and surety reinsurance business after Aspen Re decided to exit the line.

In January, TRISTAR Insurance Group agreed to acquire Aspen Risk Management Group.

Crum & Forster provides specialty property/casualty insurance products through its admitted and surplus lines insurance companies. Crum & Forster had $2.8 billion in gross written premium in 2019.

Aspen provides reinsurance and insurance coverage in Australia, Bermuda, Canada, Singapore, Switzerland, the United Kingdom and the United States. For the year 2019, Aspen reported $3.4 billion in gross written premiums.

The Hilb Group, Insurance Solutions

The Hilb Group LLC has acquired Maryland-based Insurance Solutions.

Founded in 1989, ISI is a full-service employee benefits agency with expertise in group health and dental, life and disability and other employer sponsored benefits.

As a part of the transaction, the ISI leadership team of Brian Goff, Pam Nickerson and Jennifer Shipp, as well as their associates, will join THG’s Mid-Atlantic operations and continue to work out of their existing location in Annapolis, Md.

THG is a middle market insurance agency headquartered in Richmond, Va., and is a portfolio company of global investment firm, The Carlyle Group. The company now has more than 90 offices in 20 states.

Alera Group, Gordon Atlantic Insurance

Alera Group has acquired Gordon Atlantic Insurance Agency. The Gordon Atlantic team will continue serving clients in their existing roles.

Located in Norwell, Mass., Gordon Atlantic works with clients throughout the Northeast to meet personal and business insurance needs.

Based in Deerfield, Ill., Alera Group’s more than 2,000 employees serve thousands of clients nationally in employee benefits, property/casualty, retirement services and wealth management.

World Insurance Associates, Hampton Insurance Agency

World Insurance Associates LLC has acquired Hampton Insurance Agency LLC of Hampton, Va.

Hampton Insurance is a property/casualty insurance agency serving personal and commercial clients throughout Tidewater Virginia. The firm specializes in the transportation industry.

Giordano, Halleran & Ciesla provided legal counsel to WIA. Basnight, Kinser, Leftwich & Nuckolls provided legal counsel to Hampton Insurance. No other advisors were used in the transaction.

World Insurance Associates LLC is headquartered in Tinton Falls, N.J. Since its founding in 2012, WIA has completed 75 acquisitions and serves its customers from 55 offices in 13 states and Washington, D.C.

World Insurance Associates, Ball Insurance Services

Ball Insurance Services of Northwest Indiana has been acquired by World Insurance Associates LLC.

Ball Insurance, based in Merrillville, Ind., is a property/casualty agency, specializing in auto and motorcycle insurance. It has been in business since 1962.

Giordano, Halleran & Ciesla provided legal counsel to WIA. Wooton Hoy LLC provided legal counsel to Ball Insurance.

HIIG, Skyward Specialty

Houston, Texas-based Houston International Insurance Group (HIIG) has changed its name to Skyward Specialty Insurance Group.

The company said the launch of the Skyward Specialty brand is one of many strategic actions implemented by new CEO Andrew Robinson to position the company’s readiness to stand out among its competitors and to capitalize on changing market conditions.

Skyward Specialty raised $100 million in capital raise earlier this year and broadened its product solutions.

Skyward Specialty is a property/casualty insurance holding company formed as HIIG in 2007 with nearly a billion dollars in premium and $2 billion in assets. Its subsidiary insurance companies are: Houston Specialty Insurance Company; Imperium Insurance Company; Great Midwest Insurance Company; Oklahoma Specialty Insurance Company; and Boston Indemnity Company Inc.

CRC Group, Continental Underwriters

CRC Group, a nationwide wholesale distributor of specialty insurance products, is acquiring the assets of Continental Underwriters in Covington, La. Continental provides primary marine, excess marine liabilities, ocean cargo and inland marine insurance.

Led by CEO H. Elder Brown III and in business for 50 years, Continental Underwriters has additional offices in New York, N.Y.; Houston; Chicago; Knoxville, Tenn.; and Seattle.

Fidelis Marine Underwriters and Fidelis Claims Services will also be included in the transaction.

The Fidelis companies provide underwriting, broker services, claims management and loss control assistance.

Continental will be part of CRC Group’s Programs Division.

Sentry, National Legacy Insurance

Sentry Insurance has gained approval from the Oklahoma Insurance Department to submit its Insurance Business Transfer Plan to the District Court of Oklahoma County.

If approved by the court, this IBT would transfer a block of reinsurance business underwritten by Sentry to National Legacy Insurance Co., a subsidiary of Randall & Quilter Investment Holdings Ltd., an insurance company domiciled in Oklahoma. The transfer would include the liabilities associated with the reinsurance as well as $2.9 million from Sentry to NLIC as consideration for assuming those liabilities.

Oklahoma’s IBT law became effective in November 2018. The Oklahoma process closely mirrors Part VII of the Financial Services & Markets Act of 2000 in the United Kingdom.

World Insurance, The Walker Agency

World Insurance Associates LLC has acquired The Walker Agency Inc. of Anderson (d/b/a Palmetto Insurance) of Anderson, S.C.

Palmetto Insurance is a property/ casualty agency specializing in auto, home, homebuilders, umbrella and life insurance.

Giordano, Halleran & Ciesla provided legal counsel to WIA and MarshBerry advised WIA on the transaction. Basi, Basi & Associates provided legal counsel to Palmetto Insurance and Agency Brokerage Consultants advised on the transaction.

Arthur J. Gallagher, AWIS Group

Arthur J. Gallagher & Co. has acquired San Diego, Calif.-based AWIS Group.

The AWIS team will continue to operate from their current location under the direction of Adam Mazan, head of the Pacific West Region for Risk Placement Services Inc., Gallagher’s U.S. wholesale brokerage operation.

AWIS is a wholesale insurance broker offering a range of commercial coverages, as well as high net worth personal lines, primarily through California-based insurance agencies.

Arthur J. Gallagher is headquartered in Rolling Meadows, Ill.

Alera, Legacy Risk

Alera Group has acquired Legacy Risk and Insurance Services LLC in California.

Legacy Risk is a provider of property/casualty solutions for commercial insurance and private client service offerings.

The Legacy Risk team will continue serving clients in their existing roles.

Deerfield, Ill.-based Alera serves clients nationally in employee benefits, property/casualty, retirement services and wealth management.