Independent specialty managing general agent Nexus Group announced it has completed the acquisition of Hiscox Global Flying (HGF) via an asset purchase into Millstream Underwriting Ltd., a Nexus Group company that specializes in accident & health and travel insurance.
HGF provides insurance for aviation professionals to protect against the financial consequences of loss of license and training expenses after an injury or illness. The business was established in 1996 and acquired by Hiscox in 2006. While full ownership of HGF will transfer to Millstream, Hiscox will continue to provide underwriting capacity for the business.
Financial terms of the deal were not disclosed.
The HGF customer base is principally airline pilots, with the remainder of the book comprising helicopter pilots, air traffic controllers, cabin crew and marine personnel. HGF provides both group and individual policies, predominantly in the UK and Europe, with some wider international business.
HGF Lead Underwriter Ian Groves, who has been with the business since 2003, and Development Underwriter Jenny Gu, will transfer across to Millstream. All existing arrangements and quotes will be honored and the business will continue as normal to ensure seamless trading for brokers and customers.
For all new quotes the business will be rebranded as “Millstream Global Flying” to ensure continuity, said Nexus in a statement.
Millstream, headed up by Managing Director Tim Brangwyn, specializes in travel, personal accident, and sickness insurance covers, primarily underwritten on a business-to-business basis. Millstream was acquired by Nexus in December 2015.
“We are excited by the prospect of our new strategic partnership with Hiscox which we hope will be a long and fruitful relationship,” commented Colin Thompson, founder and group CEO of London-based Nexus.
“This is a great book of business with a proven track record of profitable underwriting and fits seamlessly into Millstream’s model,” he added.
“This acquisition will expand Millstream’s capabilities and expertise in the Accident & Health space,” he said, noting there will be cross-selling opportunities as a result of the group’s recent acquisition of aerospace MGA Altitude Risk Partners.
“This is our fourth acquisition in 2018 and our 8th in the last 20 months. We continue to see a healthy flow of new opportunities and will look to take advantage of this in 2019,” Thompson said.
“Global flying is a long-standing book of business for Hiscox, which we will continue to provide capacity for through our underwriting partnership with Millstream,” added Gary Head of Hiscox. “We are confident that in working with Millstream, our broker partners and customers will find that it really is business as usual.”
Source: Nexus Group
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