US-based crop managing general agent (MGA) International Ag Insurance Solutions is being bought up by Tokio Marine HCC's crop insurance unit Producers Ag Insurance Group (ProAg).
The Iowa-based MGA manages multi-peril crop, crop hail and named peril crop insurance. In 2016, the company managed gross premiums of $67.4 million, as reported by National Crop Insurance Services (NCIS).
Tokio Marine HCC is a specialty insurance group headquartered in Houston. It is a subsidiary of Tokio Marine, which bought the company in 2016.
According to the company the deal is expected to close by April 3, 2017, subject to regulatory approvals.
Michael Connealy, ProAg’s president and chief executive officer (CEO), said: "ProAg believes International Ag provides a complementary platform to add business from a strong group of independent agents, while improving our profitability and enhancing our diversified portfolio.
"This acquisition shows TMHCC’s continued commitment to the US crop insurance space. We are pleased to welcome International Ag’s management team, employees and independent agents to ProAg."
Rob Boysen, CEO of International Ag, commented: "International Ag is excited about the opportunity to join the financially strong and geographically diverse agricultural risk management program of ProAg. Under the guidance and support of ProAg, we will be able to expand our product offerings and elevate the superior service our customers have come to expect."
Kendall Jones, ProAg’s executive vice president and chief operating officer, added: "Together with International Ag, we will work through the details to provide a seamless transition for policyholders, agents and employees over the coming months."
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Tokio Marine HCC, Crop insurance, MGA, M&A, ProAg, International Ag, US, North America