Arch Insurance North America has entered into a definitive agreement to acquire Ventus Risk Management, a technology and analytics-driven managing general underwriter (“MGU”) that specializes in providing coastal commercial property insurance solutions to small and mid-sized enterprises.
Ventus was founded in 2016 with the aim of using its proprietary technology to improve automation, efficiency, and risk selection.
In a statement, Arch said that, going forward, integrating Ventus into the Arch platform would enable third-party capital to provide capacity alongside Arch’s product offerings.
“Ventus is an insurtech company that has successfully deployed its offerings to support its underwriters, deliver best-in-class analytics and modeling capabilities, and provide a superior customer experience,” said Matt Shulman, Arch’s chief executive officer. “When combined with the scale of our [excess and surplus] property portfolio and breadth of our relationships, we will bring enhanced value to our wholesale distribution partners.”
Ventus’ leaders see this transaction as beneficial to its employees, brokers, customers, and carrier partners.
George Reeth, a Ventus co-founder who announced his retirement with the sale of the company, said, “I’m incredibly proud of what we’ve built at Ventus. By joining the Arch family, our employees will have access to a depth of resources that will allow them to continue to bring robust, creative solutions to the market and develop professionally.”
Co-founder Stuart Mercer, who will become the chief executive officer of Ventus when the sale closes, added, “Arch is known for innovative structures that allow third-party capital to access insurance and reinsurance risks behind its strong underwriting expertise. The combined platform will bring broader capabilities and expanded capacity to Arch’s E&S property unit. I’m excited to continue to bring technology driven solutions to the marketplace when our producers and customers need it the most.”
Victoria Spears
Victoria Prussen Spears is senior vice president of Meyerowitz Communications Inc., a law firm marketing communications consulting company. A graduate of Sarah Lawrence College and Brooklyn Law School, Ms. Spears was an attorney at a leading New York City law firm before joining Meyerowitz Communications. She may be contacted at [email protected].