Tokio Marine Kiln (TMK) has agreed to sell its Tokio Marine Highland’s (TMH) U.S. construction division to Intact Insurance Group USA LLC (Intact).
Financial terms of the deal were not disclosed in Friday’s announcement, which said only that the parties had signed a definitive agreement and that the deal is subject to customary regulatory approvals, with an expected close date coming in the second half of 2022.
TMH’s construction business, Highland, provides primary and excess builders risk insurance in the US. The division, led by Rick Girden, president, and Kaileigh Bowe, executive vice president, employs about 40 people who will be joining Intact, Brad Irick, TMK CEO, said in a media statement. Irick added that the TMK Highland team will be able to continue to build their business and maximize its potential as they join Intact.
He also said, “TMH remains core to TMK, and we are excited about the profitable growth opportunities of its existing business that includes flood, lender-placed insurance and fine arts.”
Speaking for Intact, T. Michael Miller, CEO of Intact Global Specialty Lines, noted that “Highland has established itself in providing specialized insurance and adds a complementary offering to the more than 20 specialty lines available to our brokers and customers.”
Intact Insurance Specialty Solutions is the marketing brand for the insurance company subsidiaries of Intact Insurance Group USA LLC, a subsidiary of Intact Financial Corporation, the largest provider of property/casualty insurance in Canada.
Throughout the U.S., Intact Insurance Specialty Solutions’ underwriting companies offer a broad range of specialty insurance products through independent agencies, regional and national brokers, wholesalers and managing general agencies, including: group accident and health; commercial and contract surety; entertainment; environmental; excess property; financial institutions; financial services; inland marine; management liability; ocean marine; technology; and tuition refund.
Tokio Marine Kiln, part of Tokio Marine group, is an international specialist underwriting business with six underwriting divisions: property and motor; liability; specialty; aviation; marine and energy and reinsurance.
Waller Helms Advisors acted as financial adviser and Morgan, Lewis & Bockius LLP acted as legal counsel to TMK and TMH on the transaction.
Source: Tokio Marine Kiln