Business Moves

Endurance Specialty, ARMTech

Endurance Specialty Holdings Ltd., a Bermuda-based provider of property/casualty insurance and reinsurance, reported that one of its U.S.-based holding companies is buying ARMtech Insurance Services and its affiliates.

ARMtech is the fifth largest underwriter of U.S. federally sponsored crop insurance, with $410 million in total premiums in 2007, according to the companies.

Samuel R. Scheef, the founder, majority owner and president of ARMtech, along with ARMtech’s other employee founders and current managers, will continue to manage the day-to-day operations of ARMtech’s business.

Kenneth J. LeStrange, chairman, president and CEO of Endurance, said the move advances his firm’s goal of expansion as a specialty insurer and reinsurer.

ARMtech entered the crop insurance services business in 1999 as a Texas-based managing general agency. ARMtech acquired American Agri-Business Insurance Co. in 2003. American Agri-Business Insurance Co. holds and agreement with the Federal Crop Insurance Corp. and is licensed to underwrite crop insurance in 33 states. ARMtech primarily offers insurance through the federally sponsored multiple peril crop insurance program through a network of agents.

AIG, National Union

AIG Companies is marketing its directors and officers, errors and omissions, employment practices, fiduciary (PTL) and fidelity liability insurance and services under anew AIG Executive Liability brand.

The offerings, which traditionally have been marketed under the National Union Fire Insurance Co. of Pittsburgh name, will continue to be underwritten by the AIG Companies.

Unitrin, AmTrust

Chicago-based Unitrin Inc. has agreed to sell its Unitrin Business Insurance segment to AmTrust Financial Services Inc. in a cash transaction.

Terms were not disclosed. However, Unitrin indicated that the transaction is not expected to have a significant impact on its financial position. The transaction is subject to the negotiation and execution of a definitive agreement, satisfactory completion of AmTrust’s due diligence review of UBI, approvals by insurance regulators and other customary closing conditions.

AmTrust, based in New York, is a multinational specialty property/ casualty holding company, which, through its insurance carriers, offers specialty P/C insurance products, including workers’ compensation, commercial automobile and general liability, extended service and warranty coverage.

AmTrust North America, through Rochdale and Technology Insurance Companies, offers monoline workers’ compensation for small- and mid-sized businesses. AmTrust Underwriters Inc. specializes in risk funding arrangements to single entity and program business clients.

Unitrin is a $3 billion financial services company offering insurance and consumer finance products and services for individuals, families and small businesses.

Accident Fund, CompWest

Lansing, Mich.-based Accident Fund Insurance Co. of America has entered into an agreement with the shareholders of CWI Holdings Inc. to purchase CWI and its wholly owned subsidiaries, including San Francisco-based CompWest Insurance Co.

Accident Fund is a workers’ compensation insurer in 43 states and the District of Columbia. CompWest is a California workers’ compensation insurer with more than 2,000 customers.

The acquisition complements Accident Fund’s workers’ compensation business, both strategically and geographically, the company said. The company has grown in the past seven years through a strategy that includes reaching out to markets across the country. Accident Fund specializes in workers’ compensation coverage for small- or mid-sized companies in the Midwest.

There are no plans to merge operations of the two companies; the plan is for CompWest to operate independently.

The purchase is anticipated to close before year-end.

Zurich, Wrightway

Zurich Financial Services Group announced the acquisition of Wexford, Ireland-based Wrightway Underwriting Ltd. following receipt of the necessary regulatory approvals.

Zurich described its new acquisition as “one of the most successful independent underwriting agencies in Ireland with a turnover of $34.87 million as of December 2006.”

Terms of the acquisition were not disclosed.

Wrightway Underwriting will continue to develop activities in chosen markets. Wrightway has strengths in the private and commercial motor insurance sector, as well as property- and construction-related markets. Wrightway will still act as an intermediary, placing business for its customers with a panel of insurers, including Zurich. The business is distributed via a network of brokers nationwide.