Bermuda-based specialty property and casualty re/insurance Sompo International is set to acquire Diversified Crop Insurance Services, a subsidiary of CGB Enterprises.
Diversified will join the re/insurer’s AgriSompo platform and will create one of the largest crop insurance providers in North America.
The acquisition provides Sompo with additional capabilities in North America in terms of product, geographic spread, and distribution network.
Chris Gallagher, CEO, Sompo International Commercial P&C, noted how the acquisition of Diversified aligns with the strategic vision for the company’s AgriSompo platform, which is to build a multinational, broad-reaching crop insurance and reinsurance business that is market leading.
“Diversified will add additional capabilities and scale to our ARMtech crop insurance business and together, we will provide a level of product, technology and service to our customers and distribution partners that is unprecedented in the industry,” said Gallagher.
“Under the leadership of Chris Sparro, CEO of U.S. Insurance, ARMtech and Diversified will begin the integration planning process immediately. We anticipate the transaction to close in the fourth quarter, following the receipt of all required regulatory approvals.”
Sparro commented how great an addition Diversified is to Sompo International.
“We look forward to working with CGB and Diversified to ensure a seamless transition for both of our organisations” he said.
“I am excited that we are continuing to build out our global franchise in the crop insurance segment and am looking forward to delivering the unparalleled service, product and technology to our clients and distribution partners that a combination of ARMtech and Diversified will be able to offer.”
Kris Lynn, Chairman of AgriSompo and SVP, Global Agriculture, Sompo International, added, “Since the formation of AgriSompo in 2017, Sompo International has been adding agriculture insurance businesses and capabilities around the world.
“The acquisition of Diversified strongly complements these efforts and reinforces Sompo International’s leadership and commitment to the agriculture insurance market on a significant scale.”