American Family to Acquire Bowhead Specialty in $1.2B Cash Deal
American Family Mutual Insurance Co. has agreed to buy all outstanding shares of specialty insurer Bowhead Specialty Holdings Inc. for about $1.2 billion in cash.
New York-based Bowhead Specialty Underwriters is managing general agency and an affiliate of Madison, Wisconsin-based American Family Insurance. It offers products through American Family Insurance on an admitted and surplus lines basis.
American Family owns about 14.3% of Bowhead’s issued and outstanding common stock as of December 31, 2025, according to a recent filing with the U.S. Securities and Exchange Commission.
“Since Bowhead’s founding, we have benefited from a strong and trusting relationship with American Family, whose support and partnership have enabled us to build the company we are today,” said Bowhead CEO and President Stephen Sills, in a statement. “Over the years, they have developed a deep understanding of our business, our culture, and the underwriting discipline that defines Bowhead. I believe this transaction delivers compelling value to our stockholders while bringing together two organizations that share a long history, aligned values and a commitment to disciplined underwriting and long-term success.”
Sills, also Bowhead’s founder, will continue to be CEO and president of Bowhead after the deal is completed. The Bowhead brand will continue and it will operate as a standalone entity within the American Family platform. American Family celebrates its 100th anniversary in 2027.
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Bowhead, a provider of casualty, professional liability and healthcare liability insurance products, announced its second quarter 2026 financial results on Aug. 3 and then cancelled its conference call after the merger announcement. Bowhead reported Q2 net income was up nearly 31% to $16.1 million compared with the same period a year ago.