Hagerty, Inc. subsidiary Hagerty Insurance Holdings is acquiring all of the issued and outstanding capital stock of Consolidated National Insurance Company (CNIC) held by Everspan Insurance Company.
In a US Securities and Exchange Commission filing, Hagerty said its subsidiary has agreed to pay approximately US$18.4 million to Everspan, subject to upward or downward adjustment in accordance with the agreement’s terms.
Hagerty noted: “CNIC is Hagerty’s new carrier platform allowing it to continue to drive high rates of written premium growth and retention of underwriting profits by: continuing the evolution of the Hagerty ecosystem to incorporate a direct underwriting carrier model to better control underwriting profit within Hagerty; removing frictional costs to create more value for customers leveraging the company’s high growth, differentiated brokerage platform, and; widening the aperture with new products and new coverage offerings to fill an underserved segment of the classic and enthusiast vehicle market where penetration is low today.”
The deal is expected to close in the second quarter.
CNIC is domiciled in Colorado.
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