UK-based Pen Underwriting, an Arthur J. Gallagher & Co. subsidiary, has acquired specialist Norwegian managing general agent (MGA) Fender Marine AS for an undisclosed sum.
It will become part of Pen’s International & Financial Lines division as Pen looks to expand its geographic footprint beyond the UK.
Based in Bergen and Oslo, Fender specialises in providing marine hull and protection & indemnity (P&I) coverages for smaller fleets and specialist working vessels, as well as insurance for yachts and pleasure craft, cargo and subsea equipment.
The business will become part of Pen Underwriting, and Chief Executive Officer Ola Skauge will continue to lead the team alongside founders Tore Hoisaether and Christian Lien.
Tom Downey, CEO of Pen Underwriting, commented: “Fender is a fantastic fit for Pen, offering complementary capabilities to our newly established, internationally focused, marine specialism.
“That means we can already offer even more risk solutions to our brokers and their clients operating in this industry and we couldn’t be happier that Tore, Christian, Ola and their colleagues have chosen to join the Pen family.”
Since its inception in 2005, Fender has grown into a leading Norwegian marine MGA and Lloyd’s coverholder. Backed by long-term A-rated capacity, its 17-strong team generates £14m gross written premium (GWP).
Downey continued: “The team’s shared focus on underwriting discipline, proactive capacity management and sector expertise made Fender a natural and attractive acquisition partner for us. But, more than that, the business with its well-respected management team creates a superb platform for our wider international expansion.
“Having a physical presence in Continental Europe will enable us to accelerate our growth in underwriting worldwide business, having steadily invested in increasing the proportion and range of risks we write from outside the UK in recent years.”
“Fender is a highly regarded firm with an excellent track record of growth whose areas of marine expertise complement Pen’s existing capabilities and provide a platform for international expansion,” said J. Patrick Gallagher, Jr., Chairman, President and CEO. “We are very pleased to welcome Ola, Tore, Christian and their associates to our growing, global team.”
Fender CEO Ola Skauge added: “There’s a real dynamism about the marine market right now. A favourable rating environment, coupled with transactional innovation, increased digitalisation and alternative distribution in a very traditional market, have made MGAs like ours not only attract long-term, committed capacity but entrepreneurial underwriting talent.
“That’s why it makes sense for Fender to become part of a larger, like-minded business such as Pen, equally committed to underwriting expertise and specialist claims handling, as we look to broaden our own range of risk solutions for our brokers and their clients. We are looking forward to exploring all the opportunities for our colleagues, capacity and clients that being part of a larger MGA and global group offers.”
