Truist Insurance Holdings has acquired Texas-based MGA Wellington from Aquiline after this publication revealed last month the private equity house had appointed Evercore to explore a sale of the firm.
For Truist – the bank-owned parent of broking houses CRC and McGriff as well as MGA giant AmRisc – the takeover of residential property specialist Wellington Insurance Group marks its fifth acquisition this quarter.
Following the sale, Wellington will retain its name and will join forces with cat-focused AmRisc, with Truist stating that the two firms “share a similar entrepreneurial and innovative culture” in a statement announcing the deal.
Aquiline has held a majority interest in Fort Worth, Texas-based Wellington for almost five years, after buying into the MGA in January 2016.
Wellington’s main operating subsidiaries include its core MGA platform Wellington Risk Insurance Agency, Wellington Claim Service and Wellington Premium Finance.
The company is led by Paul Poston (pictured) as president and CEO, positions the former EW Blanch and Aon Benfield executive has held since launching Wellington in 2006.
Wellington writes a series of programs through its MGA on behalf of a number of insurers, including fronting carriers that are supported by panels of reinsurers.
Its offerings include stated value, value, standard, select and select plus Texas homeowners insurance programs, with a range of coverage levels and perils depending on the option selected.
Wellington also offers a quake program for properties in Texas with up to $15mn in insured value, and a coastal insurance program covering windstorm, hurricane and hail.
“Insurance is a key business for Truist, and one we will continue to grow,” said Kelly King, chairman and CEO of Truist Financial Corporation.
“Delivering insurance solutions to our clients is a core strategy – helping us deepen relationships, diversify our revenue stream, and build better lives and communities,” he continued.
John Howard, chairman and CEO of Truist Insurance Holdings, said: “The acquisition of Wellington provides a terrific opportunity to further build our business and reflects the importance we place on innovation.
“Through the use of technology, Wellington has found a better way to place residential property insurance. We are very excited about the opportunities we’ll have together, including the ability to expand Wellington’s business beyond its current footprint.”