Grand Rapids, MI – Acrisure recently announced it has acquired Appalachian Underwriters, a national Managing General Agency (MGA) and U.S. Administrator Claims, a Third-Party Administrator (TPA), in addition to affiliated entities.
Appalachian Underwriters
With a model that encompasses both an MGA and wholesale distribution, Appalachian places more than $400 million gross written premium (GWP) into the insurance market. Core business divisions of Appalachian include Workers’ Compensation, Commercial Specialty, Personal Lines and Transactional Wholesale. Among the largest independent MGAs, Appalachian’s custom programs and underwriting facilities are distributed on a national basis and are supported by domestic carriers and Lloyd’s of London.
“Appalachian presents a unique partnership opportunity,” said Greg Williams, Co-Founder, CEO and President of Acrisure. “With very few entities of its kind in existence, we’re excited about this deal and the acceleration it will provide both Acrisure and Appalachian. Further, this new Partnership will expand our technology platforms as we integrate data and systems with our artificial intelligence (AI) strategy. Of particular interest is the ability to access Appalachian’s deep and broad dataset including claims information as a tool to further model, underwrite and package Acrisure’s risk premium for distribution across multiple markets.”
Appalachian’s massive distribution network will complement Acrisure’s existing distribution model to further leverage and create opportunities. With investments in AI, machine learning and data analytics, Acrisure is combining technology and the highest level of tech talent to transform the insurance value chain.
“The Appalachian family of companies, now joined with Acrisure, creates a dynamic and transformative force in the market,” said Bob Arowood, President of Appalachian Underwriters. “Acrisure’s platform is the most robust and innovative in the financial services industry and we’ve admired how they’ve built such a successful organization with a strong and differentiated culture. I couldn’t be more excited about this opportunity.”
Terms of the transaction were not disclosed.
SUNZ Insurance MGA Business and Related Entities
The deal to acquire Appalachian follows Acrisure’s recent acquisition of the Managing General Agency (MGA) and Third-Party Administrator (TPA) operations of SUNZ Insurance.
The entities acquired as part of the transaction include Next Level Administrators, a third-party administrator; Watchpoint, a special investigation unit; Ascential Care partners, nurse case management and utilization review; Avalon, claims subrogation; and Accelevant Premium Audit.
With Acrisure’s strength in workers’ compensation and professional employer organizations (PEO), the acquisition will accelerate the Company’s ability to underwrite, package and distribute related risk premium through its global network of Partners. The MGA capability of SUNZ, combined with Acrisure’s investment in artificial intelligence (AI), will give greater insight into the workers’ compensation and PEO specialties.
“I’m extremely excited by this new Partnership and the possibilities it provides both companies as we build one of the largest financial technology companies in the market,” said Greg Williams, Co-Founder, CEO and President of Acrisure. “This transaction enhances our ability to distribute into a variety of markets. Layering these new capabilities via SUNZ to our own AI platform opens exciting new growth opportunities.”
For Acrisure, the SUNZ platform will bring:
- Underwriting and claims expertise in a niche segment
- Assessment of specialized risk scenarios and ability to issue policies on behalf of clients
- Access to technology platforms that integrate with distribution channels and expedite the quoting and claims settlement processes for customers
“The SUNZ family of companies is proud to count ourselves as part of Acrisure,” said Steven F. Herrig, CEO of SUNZ Holdings. “Together, our combined efforts and unique systems and technology will create an even greater trajectory of growth and innovation. Joining Acrisure, one of the leading Fintech companies in the world, makes this next step truly exciting.”
Terms of the transaction were not disclosed.
Acrisure expects to make further related and complementary announcements during 2022.
Source: Acrisure