NU Online News Service, MAY 1, 10:05 a.m. EDT
Chicago-based insurance broker Hub International Ltd. said it is selling some of its Florida book of business back to former brokerage owner Hector Fortun. Transaction terms were not released.
Privately held Hub said the sale involves Hub International Florida, including ABCO Insurance Underwriters (wholesale), ABCO Premium Finance and a specialized commercial lines book of business.
Hub said it is divesting primarily non-core revenue business to Mr. Fortun, the former owner of the Florida-based brokerage that was purchased by Hub in 2006. At the time of the deal, Hub said they expected it would add $10 million in revenue to the firm.
The brokerage said it will retain its personal lines business based in Plantation, Fla., and continue to invest and grow in Florida as part of its strategy.
"The decision to sell components of our business back to Mr. Fortun was mutual," said Martin P. Hughes, chairman and chief executive officer of Hub, in a statement. "We wanted to focus on growing our core business in Florida for now.
"We will continue to work with Hector and his team on cross-referral relationships and other opportunities. In addition, we look forward to maintaining a presence in Florida and building our existing client base there. We wish Hector and his staff the best and thank them for their years of service with our organization."
Mr. Fortun said the three-year experience with Hub benefited his firm's team and that he looked forward to partnering with Hub in the future.
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