4 September 2024

Ryan Specialty has completed its previously announced acquisitions of US Assure and Greenhill Underwriting Insurance Services, deals which will significantly bolster the firm's MGU operations.

The Chicago, Illinois-based business revealed on 1 August that it had inked a deal that could potentially cost it $1.475bn.

As previously reported, Ryan Specialty has paid $1.075bn up front for Jacksonville, Florida-based US Assure, or 12.8x its trailing 12 months Ebitda.

The overall consideration for builder's risk specialist US Assure could rise to $1.475bn should certain performance-based contingent conditions be met.

On a call to discuss the deal shortly after it was announced, Ryan Specialty's chairman and CEO Pat Ryan said the transaction "will be immediately accretive to adjusted EPS".

It also "meaningfully increases" Ryan Specialty's footprint in the programs segment of delegated underwriting authority, he noted.

"We are pleased to be executing on M&A focused in this area as we see it as ripe for consolidation," Ryan added.

Also on the call, Miles Wuller, president and CEO of Ryan Specialty Underwriting Managers, said the deal is "the most significant enhancement to our program business since adding All Risks' national programs unit in 2020".

Almost three weeks after announcing the US Assure transaction, Ryan Specialty confirmed it had agreed to purchase certain assets of Greenhill Underwriting from Alera Group, and that deal has now also completed.

The Greenhill acquisition, first announced on 19 August, will see the allied health industry-focused MGU sit within Ryan Specialty's healthcare platform Sapphire Blue.

Greenhill was launched in 2014 and focuses on small-to-mid-sized allied healthcare policies with a growing portfolio of product offerings.

The MGU underwrites coverages in the surplus lines market for allied healthcare, such as home healthcare and physical therapy, and social service organizations.

It writes professional liability, E&O, employment practices liability, general liability, and hired and non-owned automobile liability coverage on behalf of carriers that are rated at either A or above by AM Best.

Expansive private equity-backed broker consolidator Alera Group only acquired Greenhill two years ago, a transaction that marked the firm's first foray into the MGU segment.

Houston, Texas-based Greenhill was founded by Phil Cabaud with binding authority to underwrite professional liability programs to write business in all 50 states Canada.

Confirmation of the US Assure and Greenhill transactions closing came as Ryan Specialty announced on Tuesday it has signed a definitive agreement to buy the P&C MGUs owned by Ethos Specialty Insurance from Ascot, with the exception of the platform’s transactional liability MGU, in a move first revealed by The Insurer and its sister publication Program Manager.

And Ryan Specialty has also signed a definitive agreement to acquire certain assets of the Ardonagh Group's European MGA business, Geo Underwriting Europe. Geo Europe specialises in financial lines business, and while based in Rotterdam, the Netherlands, the company also has operations in Germany.

View this article here: https://www.program-manager.com/news/ryan-specialty-closes-us-assure-and-greenhill-acquisitions/

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