Business Moves

Morgan Hill, Calif.-based DMI Insurance Services Inc., has created a wholesale division that will specialize in excess and surplus markets for independent auto dealers and automotive specialty shops. Tina Evans, an insurance professional with 15 years of experience, has been named commercial lines manager, and will head the new unit. The new markets will be available immediately in select states including: California, Alabama, Indiana, Mississippi, New Mexico, Colorado, Illinois, Nevada, Oregon, Arizona, and Missouri.

MI-Assistant, Xcipio

Agoura Hills, Calif.-based FSC Insurance Solutions, a business unit of Fiserv Inc. began integrating its rating divisions, MI-Assistant and Xcipio Inc., under the FSC Insurance Solutions name beginning Jan. 1, 2006.

According to FSC Insurance, the move was designed to help better serve insurance professionals by forming a combined organization. Paul Areida, president of FSC Insurance Solutions, said the company is planning to expand its presence nationwide. As part of the integration effort, billing notices and marketing materials began reflecting the new name on Jan. 1, 2006. The branding initiative will be administrated in a phased approach with an expected completion date sometime during the second quarter of 2006.

Mercury General

Mercury General Corp. has revised its estimate of losses caused by Hurricane Wilma. On Oct. 24, 2005, Hurricane Wilma made landfall as a Category 3 storm on the southern gulf coast of Florida. The storm crossed the Florida Peninsula and had a significant effect on the Gulf and Atlantic sides of the state. Mercury claims adjusters have been working to help customers recover from the storm.

The company is revising its original loss estimate of $12 million ($8 million after tax benefit) that was based on very preliminary data as reported on Oct. 31, 2005. Based on the total number of claims reported to date and the number of claims still anticipated to be reported, the company now expects fourth quarter losses from Hurricane Wilma to approximate $24 million ($16 million after tax benefit). Those losses will be reflected in the fourth quarter 2005 financial results.

The company believes the majority of the claims have now been reported and a substantial number of those claims have been settled.

On Monday, Feb. 13, 2006, the company will release results for its fourth quarter and 12 month period ended Dec. 31, 2005. CEO George Joseph and President Gabriel Tirador will host an investor conference call and webcast that day at 10 a.m. Pacific Time (1 p.m. Eastern Time) to review the company’s results.

Access the conference call at (877) 807-1888 (USA), (706) 679-3827 (International) or listen to the webcast at http://www.mercury insurance.com/.

Microsoft, Safeco

Microsoft Corp. has agreed to pay $209.5 million for the Redmond, Wash., office campus of Safeco Corp., the insurance company said in a regulatory filing.

The terms of the deal give Microsoft, Safeco’s neighbor in the Seattle suburb, 30 days to back out. Seattle-based Safeco also can end the deal if plans to expand its offices in Seattle don’t work out as intended.

In addition, Safeco said in the filing that it would lease back some of the property for up to three years, while it completes an effort to consolidate its offices in Seattle.

The sale is expected to close in late 2006, Safeco said. It does not include a Safeco data center in Redmond. The company said it would take a pretax gain of approximately $29 million to account for the sale.

Microsoft confirmed the sale and said it was “consistent with Microsoft’s long-standing interest in preserving future growth options in the Redmond-Overlake area.”

More than 30,000 of Microsoft’s 63,564 workers were in the Puget Sound area, according to the company’s latest figures.

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Meacham Group, Baldwin Resource

The Meacham Group, which provides insurance and health benefits to school districts, businesses and individuals, is merging with Baldwin Resource Group, a Bellevue, Wash.-based company specializing in insurance, risk management and business consulting.

The newly merged Baldwin Resource Group Inc. combines The Meacham Group’s focus on medical, disability and life insurance, employee benefits and retirement planning with Baldwin Resource Group’s focus on property and casualty insurance, risk management and business consulting services. The new company also expands Baldwin Resource Group’s reach into the Spokane, Wash., market.

Bill Meacham, who founded The Meacham Group in Kirkland, Wash., and his partner Gus Kiss, will assume the roles of principals. Mark Rose also will join as a principal.