Massachusetts officials have given the green light to the redomestication of Harleysville Worcester Insurance Co. to Pennsylvania.
The company is a subsidiary of Pennsylvania-based Harleysville Insurance Group, whose officials sought the move in order to lower administrative and actuarial costs. Harleysville Worcester will now be examined by the Pennsylvania Insurance Department along with seven other subsidiaries Harleysville owns.
The company pointed out that the change would have no effect on policyholders or agents and would actually increase, not lower, tax payments to Massachusetts. No staffing reductions are expected in Worcester as a result of the change of domicile; in fact, management anticipates adding to the Massachusetts staff. (Insurance Journal incorrectly reported possible staff reductions in an earlier story.)
Massachusetts Insurance Commissioner Julianne Bowler signed off on the approval of the redomestication in late December, before she left office.
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