Everspan to Sell Providence Washington Shell to RI’s Falvey Group

Everspan Group, a specialty property/casualty insurance platform and wholly owned subsidiary of Octave Specialty Group, Inc., has agreed to sell the admitted shell company Providence Washington Insurance Co. (PWIC) to Rhode Island-based Falvey Insurance Group.

New York-based Everspan said the sale is expected to improve operational efficiencies and increase its tangible book value by approximately $11 million.

The transaction is subject to customary closing conditions and required regulatory approvals.

PWIC is a Rhode Island-domiciled insurance company that Everspan acquired in 2021. It is one of five property/casualty companies owned by Everspan. The others include Consolidated Specialty Insurance Co., Greenwood Insurance Co., Everspan Indemnity Insurance Co. and Everspan Insurance Co.

“This transaction reduces our operating costs without diminishing our capabilities,” Everspan President Darwin Lucas said. “It also places PWIC with an organization that sees meaningful strategic value in its Rhode Island roots, licenses and capabilities. We believe Falvey is a natural home for the company and are pleased to see its legacy continue.”

Falvey is a specialty insurance provider founded in 1995. Headquartered in North Kingstown, Rhode Island, the group acts as a managing general agent (MGA) and service provider for cargo, marine, supply chain, transportation and logistics risks

Following the announcement of the agreement, AM Best placed under review with developing implications the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Rating of “a-” (Excellent) of PWIC.

AM Best said its rating action reflects the expectation of changes to PWIC’s relationship with and rating support from Everspan upon closing.

The ratings will remain under review with developing implications pending the close of the transaction, which is expected to be in the first quarter of 2027. AM Best said it will continue discussions with management throughout this period.