National Sep 7, 2017

Narragansett Bay Insurance Co. acquired by Heritage Insurance Holdings

Narragansett Bay Insurance Co. recently announced that it has signed an agreement to sell the full assets of the company to Heritage Insurance Holdings. Your PIA Business Issues Director Jim Pittz, CIC, CPIA, reached out to NBIC’s Senior Vice President Tim Moura to review the pending acquisition and its impact on independent agents.

The deal was announced on Aug. 8, and it is expected to close by the end of the year. Heritage, based in Clearwater, Fla., has a business model similar to NBIC’s, focused on coastal property insurance. It offers home, condo, rental property and commercial residential insurance and operates in Florida, North Carolina, South Carolina, Georgia, Alabama and Hawaii. The company also is licensed in Mississippi. Heritage Chairman and CEO Bruce Lucas recognized the acquisition as a critical step in Heritage’s geographic diversification strategy, noting that they will be looking to "expand the commercial residential expertise we have cultivated in our current markets to the Northeast."

Moura noted that the acquisition by Heritage is a positive step for NBIC’s future and that joining forces will provide long-term financial resources and operational support to position NBIC for continued growth and success. Once the transaction closes, the new company will write nearly $1 billion in premium along the eastern seaboard. With similar business models, NBIC expects a smooth transition for agents and customers.  According to Moura, "Heritage came to us because we are a strong company with a profitable business, great people and a solid strategy, and we are very excited about leveraging our combined strengths to provide even more value to our agents and customers."

NBIC will introduce a new dwelling fire product, which has been approved in New York, and will work with Heritage to bring commercial residential capabilities to its agents. In the coming months, NBIC and Heritage management will be collaborating to develop a comprehensive integration plan and will share more information with agents as it becomes available.

Once the transaction is complete, NBIC has agreed to meet with PIA to update the association on its progress and to continue to build a strong relationship with the association.