HCC Insurance Holdings Inc. announced the acquisition of cineFinance LLC (cF), a Los Angeles-based underwriting agency operation specializing in completion bonds for movie and television studios worldwide. The amount of this cash transaction was not disclosed and it is expected to close before the end of this year.
Fred Millstein, president & CEO of cF and responsible for operations, will remain with the company following the closing of this transaction. Millstein was employed by the William Morris Agency from 1972-1989; he held senior production executive positions with Miramax Films and Cineplex Odeon Films from 1989-1991; and has been in the insurance and completion bond business for the past 10 years.
cF currently has underwriting representation of various Lloyd’s syndicates and anticipates increasing its business substantially with the additional capacity and financial strength of HCC. Written premium volume is expected to reach $25 million over the next few years.
Ned Gurevich, who is the majority shareholder of cF, has been in the entertainment insurance business for more than 35 years. Gurevich also owns Entertainment Risk Agency (ERA), an underwriting agency providing property, casualty and cast insurance for both domestic and international studios. Jim Berger, executive vice president and also a shareholder of cF, is senior vice president of ERA, which he helped establish in 1990. Both executives will join the newly formed ASU Entertainment Division (ASUED), part of HCC subsidiary ASU International Inc. ASUED will be based in NYC and anticipates writing approximately $25 million in premium in 2005.
Bill Hubbard, Chief Executive Officer of ASU, commenting on these transactions said, “We are very pleased to have such an experienced team to help us expand HCC’s specialty businesses. cF is a perfect addition to HCC Surety Group and together with ASUED, we will have terrific cross sell opportunities with other products sold by ASU.”
ASU is an underwriting agency specializing in disability insurance for sports, entertainment and other high profile individuals, as well as event cancellation and other specialty coverages. For more information, visit the ASU Web site at www.asui.com.
HCC is an international insurance holding company and a leading specialty insurance group since 1974, based in Houston, Texas with offices across the USA and in Bermuda, England and Spain. HCC has assets of more than $5 billion, shareholders’ equity of over $1 billion and is rated AA (Very Strong) by Standard & Poor’s and A+ (Superior) by A.M. Best Company.
For more information, visit www.hcch.com.
Topics Mergers & Acquisitions
Was this article valuable?
Here are more articles you may enjoy.
AIG General Insurance Chairman McElroy to Retire May 1 
Wildfires Are Upending Some of the Safest Bets on Wall Street 
North Carolina Adjuster and Son Charged With Embezzlement in Roof Jobs 
How California’s Huge Raises for Fast-Food Workers Will Ripple Across Industries 
