Business Moves

Progressive, Mass. Commercial Auto

Massachusetts is about to get a new auto carrier — for commercial, not personal, lines. Progressive Insurance is awaiting approval of rate and form filings from the Massachusetts Division of Insurance in preparation for selling commercial auto products beginning this fall, according to spokesperson, Shawn Fergus.

The company’s plans including selling commercial auto through its Drive from Progressive brand using select independent insurance agents in the state.

The company says it will use its existing staff of claims specialists with experience along with occasional independent adjusters.

Leader Associates, Emerson Reid

New York’s Leader Associates and Emerson Reid, a part of USI Holdings Corp, have agreed to merge. The combined entity will continue operations in metropolitan New York and New Jersey, as well as the Emerson Reid operations in southern New Jersey, suburban Philadelphia and Harrisburg. The terms of the merger were not disclosed, however the combined entity is expected to generate over $29 million in annual revenue.

Emerson Reid will continue to operate under the Emerson Reid brand, while Leader Associates will begin to operate as Leader Associates/Emerson Reid. Both businesses will maintain their current offices and employees, according to Chris Goff, marketing director.

Emerson, Reid is a wholesale only distributor of group employee benefit products through third party agents and brokers. It has offices in Connecticut, New York, New Jersey, Pennsylvania and Delaware.

Leader Associates, headed by David Leader, works with independent insurance brokers in the metropolitan New York area.

USI is headquartered in Briarcliff Manor, N.Y., and operates in 18 states.

Association Executives, Great American

A major association representing association executives is now utilizing its captive insurance company to market an insurance package to its members. The American Society of Association Executives has begun marketing an Association Office Package Policy program, which is fronted by Great American Insurance Company and provides property, liability, automobile and workers’ compensation insurance to ASAE members.

ASAE is a membership organization of 22,000 association chief executives, staff professionals and industry partners, representing nearly 11,000 organizations. Members manage trade associations, individual membership societies and voluntary organizations across the U.S. and 50 countries around the globe.

American Re, Munich Re America

Munich Reinsurance America Inc. officially changed its name from American Re-Insurance Company effective Sept. 5. The name of the holding company, American Re Corporation, has changed to Munich Re America Corporation. Munich Reinsurance America Inc. will continue to operate as a separate corporate entity in the U.S. market. Munich-American RiskPartners will also use the Munich Reinsurance America name, and the division will be known as Specialty Markets.

The names of American Alternative Insurance Corporation and The Princeton Excess and Surplus Lines Insurance Company will not change. The Web address for Munich Reinsurance America is www.munichreamerica.com.

BISYS, JCH Insurance Brokers

Wholesaler BISYS Commercial Insurance Services has acquired JCH Environmental Insurance Brokers, the environmental practice of JCH Insurance Brokers, a New York-based commercial insurance operation. The acquisition allows BISYS Commercial Insurance Services to expand its risk management strategies to address environmental exposures inherent in all aspects of corporate America.

JCH has three locations in the U.S. with offices in Atlanta, Denver and New York.

Alliant, Jardine Lloyd Thompson

Jardine Lloyd Thompson Group plc has sold its U.S. based property and casualty insurance and employee benefits businesses to California-based Alliant Insurance Services Inc.

The consideration is $100 million including $5 million of deferred consideration payable by installments at the end of 2008 and 2009, subject to the profitability of the businesses being sold. The net consideration on completion after transaction costs, including retention bonuses, is approximately $85 million, payable in cash. JLT said the proceeds would be used to further enhance the group’s financial position including debt reduction.

Alliant Insurance Services, based in Newport Beach, Calif., has a network of companies including Driver Specialty Group, Alliant Specialty Insurance Services, Alliant Risk Services Group, Franey Muha Commercial Group and Kelter Commercial Group.

JLT said it will continue to operate specialist U.S.-based aviation and wind power insurance businesses and reinsurance operations and will build on its position as a provider of access to the London and Bermudian insurance markets for U.S. brokers and their clients.

The sale should be completed by Oct. 31.

Berkley, Environmental Contractors

Berkley Specialty Underwriting Managers LLC has formed a division that will offer specialty insurance products for environmental contractors, consultants and site-specific facility risks.

Robert J. Patterson has been named vice president of the new division, which will operate out of Berkley Specialty’s headquarters in Atlanta, Ga. Patterson has 25 years of environmental underwriting experience.

Topics USA New York New Jersey Alliant