Recently launched vehicle ReAlign Insurance Holdings has completed a transaction that sees it take over National Lloyds and American Summit from Align Financial Holdings (AFH), the PE-backed program and MGA that acquired the two carriers from Hilltop Holdings earlier this year.
The company also confirmed that former Ironshore programs president Tim McAuliffe will take the position of president at the two carriers.
The new vehicle was set up by ReAlign Capital Strategies as a holding company to buy up and house admitted and non-admitted insurance companies focused on the specialty program marketplace in the US.
It is backed by ReAlign Capital Strategies and private investment fund MGI Insurance Holdings.
Program underwriting management and claims administration services are then provided to the carriers by San Diego, California-based AFH, which is backed by New York-based tech PE fund Bregal Sagemount.
AFH is the owner of MGAs and program managers including casualty focused Align General Insurance Agency, property cat specialist Catalytic Risk Managers & Insurance Agency, Deposit Choice and Nalico General Agency.
As previously reported, Texas admitted carriers National Lloyds and American Summit are both A rated by AM Best with licenses to write in 43 states, specializing in personal property insurance.
Commenting on the transaction, ReAlign president Grant Lippincott said the two carriers “have a successful track record in the specialty property insurance marketplace that we look forward to building upon”.
He added: “The carriers represent an excellent and strategically important first step towards executing our long-term plan to create a leading domestic program underwriting platform.”
McAuliffe added that ReAlign will work together to enhance the carriers’ current product offerings and deliver new products and solutions to their retail agency customers.
As previously reported, the $150mn cash transaction that saw AFC buy the two carriers came after Hilltop Holdings reportedly pulled a sale process for its National Lloyds operations that had begun the previous autumn.