Companion Property & Casualty Insurance Group, a subsidiary of BlueCross BlueShield of South Carolina, has acquired the insurance and insurance-related service operations of AmFed Holding Company Inc. of Ridgeland, Miss., it was announced.
Companion's parent firm said AmFed is the largest workers' compensation insurance and self-insurance administration company in Mississippi and administers more than $75 million in annual premiums in the state. Financial terms of its acquisition were not disclosed.
Based in Columbia, S.C., Companion is a multiline insurance company licensed in 47 states. The acquisition includes AmFed National Insurance Company and AmFed Casualty with insurance company operating entities AmFed Companies LLC and AmFed Insurance Services LLC.
The firm said AmFed President and Chief Executive Officer John W. "Billy" Roberts will continue managing AmFed and the firm's 98 employees will remain in place to expand AmFed's product offerings.
Companion President Charles Potok said his company's strong financial rating and experience with multiline products will give AmFed "the ability to provide other insurance products for existing accounts and to write business in states other than Mississippi and build on the success it already enjoys."
The Companion staff and "the excellent team at AmFed will share knowledge and resources to better serve existing customers and expand our products and services to new clients," said Mr. Potok.
He called the merger "an excellent fit because the two companies are so similar. The core value of both cultures is the importance of people. AmFed, like Companion, is diversified with both insurance and fee-for-service businesses. Also, just as Companion started with a workers' compensation insurance base and expanded into a multiline, full-service commercial lines carrier, we have similar goals for AmFed."
Mr. Roberts said, "AmFed and its employees are excited to be a part of a company with the financial strength of Companion Property & Casualty. We have been searching for a capital partner with the strength and experience to help us expand our service area and offer more companies innovative ways to meet their insurance needs."
Companion offers workers' compensation insurance and services as well as a variety of commercial package policies, commercial auto insurance, commercial property and commercial liability policies, third-party administration services for workers' comp, liability and property coverages, and insurance for residential condominiums. The firm does business in 47 states through a network of independent agents, brokers and business partners.
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