Hub to Buy Wells Fargo Crop Insurance Broker Business
Global insurance broker Hub International Limited (Hub) has agreed to acquire the assets of the crop insurance broker business of Wells Fargo Insurance.
Terms of the agreement to buy the business, known as Wells Fargo Crop Insurance Agency, were not disclosed.
With offices in South Dakota, North Dakota, Minnesota, Iowa, Nebraska and Indiana, the agency offers insurance to protect agriculture-related operations. Representing the top crop insurance providers, Wells Fargo Crop provides insurance brokerage services for more than 130 types of crops, plus standard federal multi-peril and crop hail policies. It also helps farmers protect their operations with programs such as revenue protection and state-specific offerings.
Rene LeVeaux, president of Hub International Mountain States Limited (Hub Mountain), said Hub Mountain is “aggressively investing in its crop and agriculture business” and this acquisition will make Hub Mountain one of the largest crop brokers in the Midwest and Northwest.
Following the acquisition, the Wells Fargo Crop team members will join Hub Mountain. Jeff Kemink, national crop insurance manager of Wells Fargo Crop, and Jean Hinsverk, assistant vice president and operations manager, will join Hub Mountain in leadership roles. Kemink will report to LeVeaux and Hinsverk directly to Kemink with a close partnership with Wayne Dauwen, chief operating officer of Hub Mountain.
The deal continues Wells Fargo’s exit from the crop line. Last year, Zurich American Insurance Co. bought Rural Community Insurance Agency (RCIA) and its subsidiary Rural Community Insurance Co. (RCIC) from Wells Fargo Insurance for $700 million. The two crop businesses, which were collectively known as Rural Community Insurance Services (RCIS), are among the country’s biggest crop insurance providers.
The deal also furthers Hub’s interest in the crop agency market. Last October Hub purchased Mayport Insurance & Realty Inc. in North Dakota, which specializes in insurance for the agriculture and crop industry.