Hartford Financial Services Group Inc. says it’s paying $170 million cash for a Georgia specialty insurer.
The Hartford announced Wednesday its definitive agreement to purchase Northern Homelands Co., parent of Maxum Specialty Insurance Group. Maxum’s business model is underwriting hard-to-place risks.
The acquisition, subject to the usual regulatory approvals and satisfactory closing conditions, is set to finalize in the third quarter of this year. The deal will have no material impact on The Hartford’s financial results, the insurer said.
Maxum will remain headquartered in the suburban Atlanta community of Alpharetta, Ga., plus retain its brand and limited wholesale distribution model; it will be managed within The Hartford’s Small Commercial business, The Hartford’s President Doug Elliot said in a statement. Also, Maxum employees will be offered continued employment at close.
“Today’s acquisition supports The Hartford’s strategy to profitably grow our business by investing in the product, underwriting and distribution capabilities that are making us a broader and deeper risk player,” Elliot said. “The addition of Maxum … accelerates our efforts to build upon our market-leading position in Small Commercial by expanding our product offerings and capabilities.”
