Business Moves

State Auto, Rockhill Insurance Group

State Automobile Mutual Insurance Company has agreed to acquire Rockhill Insurance Group of Kansas City, Mo. Closing is expected in the first quarter of 2009, subject to approval by regulatory authorities.

Rockhill Insurance Group, which has its corporation based in Delaware, but has companies in Kansas, writes approximately $135 million in specialty property and casualty direct written premium through four insurance company subsidiaries: Rockhill Insurance Company, Plaza Insurance Company, American Compensation Insurance Company, and Bloomington Compensation Insurance Company. Key business segments include commercial property, general liability for residential construction, commercial umbrella and surety; RTW, a monoline workers’ compensation company; and Absentia, a third party administrator providing workers’ compensation claim and loss control services. Rockhill writes business on a non-admitted basis in 49 states and the District of Columbia.

State Auto intends to retain Rockhill’s management and associates, operating the company as a stand alone subsidiary of State Automobile Mutual. State Automobile Mutual does not plan to pool Rockhill’s operations with those of State Auto’s in the near future.

Brown & Brown, Agency Associates Inc.

J. Scott Penny, regional executive vice president of Brown & Brown Inc., and Frederick W. “Fred” McClaine, B. Michael Haffey and Ronald L. “Ron” Smith, principals of Agency Associates Inc., announced the asset acquisition of Agency Associates Inc. and certain affiliated entities by a subsidiary of Brown & Brown Inc.

Agency Associates and its affiliates, with combined annual revenues of approximately $5.2 million, offer property and casualty insurance, individual and group employee benefits insurance, and financial planning products and services to individuals and businesses throughout Indiana. Agency Associates serves professional and trade associations, as well as individuals, businesses and non-profit organizations, throughout Indiana and the region.

McClaine, Haffey, Smith and their producers and staff will join Brown & Brown and continue to serve clients from the Zionsville, Kokomo and Mishawaka, Ind., locations.

In coordination with Brown & Brown of Indiana Inc.’s executive vice president, Eric E. Anderson, Brown & Brown’s Indianapolis office and Agency Associates’ Zionsville office will move into one location in “Northside Corridor” of the greater Indianapolis area.

Brown & Brown, Connor Strong Cos. Inc.

Florida- based Brown & Brown Inc. said it it has agreed to acquire the small business insurance unit of Conner Strong Companies Inc., which is headquartered in Cherry Hill, N. J.

The small business insurance unit has annualized revenues of approximately $9.3 million from commercial insurance and employee benefits.

The agency has locations in New Jersey, Pennsylvania and Delaware. The deal is expected to close in January of 2009.

FARA Insurance Expands Operations

Mandeville, La.-based FARA Insurance is expanding operations into the Midwest. On Dec. 1, 2008, FARA is opening an office in Omaha, Neb., and adding 13 new employees to its service team.

Founded in 1978, FARA is a nationwide insurance services provider of risk management and claims administration solutions for insurers and self-insured corporations.

Archer Daniels Midland Co., Agrenational Insurance Co.

Archer Daniels Midland Company announced that its wholly owned subsidiary, Agrinational Insurance Company, has acquired 50 percent of the shares of Agriserve Inc. (ASI).

Agrinational has also acquired an option to purchase the remaining shares of Agriserve at a future date. Agriserve was established in 1982 to provide farmers with affordable crop income protection. Through the partnership, ADM will add Agriserve’s expertise in crop insurance to its portfolio of grain merchandising services.

Agriserve Inc., located in Findlay, Ill., has served as Agrinational’s managing general agent for crop insurance business since 2005. Agriserve writes multi-peril crop insurance and crop hail insurance in 32 states.

Decatur, Ill.-based Archer Daniels Midland Company employs 27,000 who work at more than 240 processing plants, converting corn, oilseeds, wheat and cocoa into products for food, animal feed, chemical and energy uses.

NationAir, Cirrus Owners & Pilots Association

NationAir Aviation Insurance reported that it has been named the preferred or the Cirrus Owners and Pilots Association (COPA).

Through the preferred broker relationship, NationAir will support continued development of Cirrus safety programs, including Critical Decision Making (CDM) and the Cirrus Pilot Proficiency Program (CPPP), as well as the development of new programs.

The new relationship will also give NationAir customers access to exclusive premium discounts by completing COPA training programs.

NationAir clients will receive up to 10 perfect off premiums for completion of the Cirrus Pilot Proficiency Program, or up to 5 percent off for completion of the Critical Decision Making program.

Baldwin & Lyons, Paladin Catastrophe Management

Indianapolis-based Baldwin & Lyons Inc. announced its subsidiary, Protective Insurance Co., has entered into an agreement with Paladin Catastrophe Management to produce casualty clash and workers’ compensation catastrophe reinsurance in the United States.

Paladin Catastrophe Management will continue to solicit and underwrite selected property catastrophe reinsurance business, along with the new program for casualty clash and workers’ compensation catastrophe business, exclusively on behalf of Protective. Paladin will also continue to consider specific terrorism reinsurance, property per risk and property aggregate stop loss programs on a selected basis.

Baldwin & Lyons Inc. is a specialty property-casualty insurer that provides liability coverage for large and medium-sized trucking fleets and public transportation fleets.