Columbia Acquires Acacia Pacific Subsidiaries

Columbia Insurance Company announced today they have agreed to acquire American All-Risk Insurance Services (AARIS) and American Commercial Claim Administrators (ACCA), both wholly owned subsidiaries of Acacia Pacific Holdings (APH).

Terms of the deal were not released.

Columbia, a member of the Omaha, Neb.-based Berkshire Hathaway Group of Insurance Companies, said a closing is scheduled for this month.

San Francisco-based AARIS and ACCA are privately held companies that provide underwriting, operational and claims management services for California workers' compensation business placed through AARIS' agency distribution network (www.aarisinsurance.com).

National Liability & Fire Insurance Company, another member of the Berkshire Hathaway Group of Insurance Companies, has been writing its California workers' compensation business through AARIS since October 2004.

Lou Rovens, the founder and principal owner of the entities, will continue to operate Acacia Pacific Holdings and its related non-workers' compensation insurance activities, the company said.

The acquired operations will continue to be managed by Rob Darby, president and chief executive officer, who has been managing the companies since February 2005. ACCA also maintains a branch claims office in San Diego.

“Becoming part of the Berkshire Hathaway family of companies is a great opportunity for our management, staff and employees,” said Mr. Darby. “This acquisition will provide value to our current client partners, agents, brokers and their customers, by giving them a stable market and unsurpassed financial strength.

“We look forward to a long and mutually rewarding relationship, as well as becoming fully integrated into the Berkshire Hathaway family.”

AARIS and ACCA provide workers' compensation insurance solutions for a wide range of companies of various sizes and in diverse industries in California. Their underwriting products include MaxiComp, EconoComp and eQUOTE, an online rating program.