HDI Global Insurance Company has strengthened its position in the U.S. market with the acquisition of 100% of Indiana Lumbermens Insurance Company (ILIC), a subsidiary of Pennsylvania Lumbermens Mutual Insurance Company (PLM), for an undisclosed purchase price.
HDI has purchased all of the shares of ILIC from PLM. The transaction closed on November 30th, 2023.
Ralph Beutter, member of the Management Board of HDI Global SE and CEO of HDI Global Specialty SE, commented on the acquisition: “The acquisition fits perfectly into our strategy. The licenses will allow us to organically expand our specialty lines product portfolio in the world’s largest specialty insurance market.”
ILIC is widely licensed and holds a Treasury listing (T-listing), and the takeover is a strategic move for HDI to broaden and strengthen its business products offering in the U.S. with the initial focus on surety.
The acquisition will expand the carrier’s U.S. footprint to two admitted carriers and one non-admitted carrier.
The company also recently entered the Asian Accident and Health market with the establishment of its Singapore branch.
Jim Clark, Chief Executive Officer of HDI Global Insurance Company, added: “Acquiring the licenses and T-listing from ILIC enables a quicker time to market than expanding our existing authorities. With this acquisition we are in the position to enter the surety market in the U.S. and seize further opportunities for profitable growth.”
John K. Smith, President & CEO of Pennsylvania Lumbermens Mutual Insurance Company, concluded: “The sale of Indiana Lumbermens Insurance Company (ILIC) allows us to strengthen our operating position and continue to focus on service offerings to the lumber businesses across the country as the oldest and largest carrier in the niche.”
