A change in the crop insurance world was announced earlier this week, as Producers Ag Insurance Group, Inc., (a member of Tokio Marine HCC) has signed a purchase agreement to acquire crop managing general agent (MGA) International Ag Insurance Solutions. In 2016, the Iowa-based company managed $67.4 million in gross premiums for multi-peril crop, crop hail and named peril crop insurance.
“ProAg believes International Ag provides a complementary platform to add business from a strong group of independent agents, while improving our profitability and enhancing our diversified portfolio,” says Michael Connealy, ProAg president and chief executive officer. “This acquisition shows TMHCC’s continued commitment to the U.S. crop insurance space.”
Rob Boysen, International Ag's chief executive officer, says the acquisition will allow the company to expand its product offerings while improving customer support.
“Together with International Ag, we will work through the details to provide a seamless transition for policyholders, agents and employees over the coming months,” says Kendall Jones, ProAg's executive vice president and chief operating officer.
ProAg is based in Amarillo, Texas, with seven offices and 400 employees that supply crop insurance in 41 states. The transaction is subject to a number of closing conditions and is expected to be finalized by April 3, 2017.