NU Online News Service, June 21, 12:43 p.m.EDT

White Mountains Solutions Holding Co. says it has entered into adefinitive agreement to acquire Physicians Insurance of Ohio andCitation Insurance Company from PICO Holdings, Inc.

Physicians Insurance and Citation Insurance ceased underwritingin the mid-1990s and have been in runoff since that time.

Under the terms of the agreement, White Mountains Solutions willpay approximately $17 million subject to certain targetedpre-closing dividends. The transaction and related dividends aresubject to Department of Insurance approvals in both California andOhio.

“This acquisition continues our long track record of success incompleting runoff acquisitions that allow sellers to achieve aclean exit from the insurance business,” says Neal Wasserman,president of White Mountains Solutions in a statement.

White Mountains says this is the eighth runoff acquisition bythe White Mountains Solutions team. The transaction is expected toclose during the third quarter of 2012, subject to regulatoryapprovals and other customary closing conditions.

White Mountains Solutions is a wholly owned subsidiary ofWhiteMountains Insurance Group, Ltd. White Mountains InsuranceGroup, Ltd. is a Bermuda-domiciled financial services holdingcompany.