Business Moves

American Family, Homesite Group

Madison, Wis.-based American Family Insurance reached agreement to acquire direct homeowners insurer Homesite Group Inc. for an anticipated $616 million.

Homesite Group is a Boston-based direct writer of homeowners, renters and condominium insurance. The deal is expected to be finalized by the end of the year, pending regulatory approval.

American Family said the move would strengthen its position in the marketplace by complementing its strong exclusive agent network with direct channel options to serve a different customer segment.

American Family’s Chairman and Chief Executive Officer Jack Salzwedel said agents will remain American Family’s primary distribution channel.

The acquisition will have no immediate impact on operations or positions at American Family or Homesite. Fabian Fondriest will stay on as Homesite’s CEO, as will other members of the company’s leadership team.

The purchase is the second time in less than a year that American Family has acquired a direct property/casualty insurance company. American Family purchased non-standard auto insurer Permanent General Cos. at the end of 2012.

Homesite has been privately owned by multiple entities and individuals. Owners include Alleghany Corp., Metalmark Capital through its management of the Morgan Stanley Capital Partners funds and The Plymouth Rock Co. Inc.

AssuredPartners, AxisPointe

Lake Mary, Fla.-based AssuredPartners Inc., through its subsidiary Herbert L. Jamison & Co., completed the acquisition of AxisPointe Inc., an independent employee benefit advisory firm located in West Orange, N.J.

AxisPointe offers employee benefits products and services; business and individual planning; and professional liability, general insurance and risk management services. Founded in 1991, AxisPointe has assisted N.J.-area public and non-profit corporations with diverse workforces with their employee benefit programs.

AxisPointe has a workforce of four agents and staff that will join AssuredPartners’ Herbert L. Jamison & Co.

AssuredPartners, a portfolio company of Chicago-based private equity firm GTCR, acquires and invests in insurance brokerage businesses (property/casualty, employee benefits, surety, MGA/wholesalers) across the United States and in London.

Capital Benefits Group, Higginbotham

Higginbotham and Capital Benefits Group have merged their operations, becoming what the companies believe to be the largest independent insurance and financial services employer in Central Texas.

Higginbotham provides property/casualty insurance and employee benefit services, and Capital Benefits provides employee benefit consulting. Combined, the firms employ 75 insurance and administrative professionals in Austin.

Headquartered in Fort Worth, Higginbotham is expanding its operations throughout Texas by partnering with other independent brokerages that add capacity to the Higginbotham group, which has grown to 19 offices and 543 employees statewide. Higginbotham entered the Austin market in 2004.

Capital Benefits was founded by partners Troy Ahrens and Brian Penny in 2008.

The firms will centralize operations by moving to a single location in early 2014. Existing staff will continue servicing accounts.