Alleghany sells workers’ compensation unit for $150m
Alleghany Corporation said on Sept. 13 that its subsidiary Alleghany Insurance Holdings is selling Pacific Compensation Insurance Company (PacificComp) to CopperPoint Mutual Insurance Company for $150 million of total cash consideration.
PacificComp is an underwriter of workers' compensation insurance, primarily in California.
In connection with the transaction, an Alleghany subsidiary will continue to provide adverse development reinsurance cover on PacificComp's pre-acquisition claims. The transaction is expected to close at the end of the year.
Weston Hicks, president and CEO of Alleghany, said: "We are thrilled to have found a great home for PacificComp's employees and policyholders. I would like to thank Jan Frank for her leadership and the entire PacificComp team for their efforts over the past five years to build PacificComp into the successful California workers' compensation specialist it is today. As part of the CopperPoint family of companies, PacificComp will be ideally positioned to continue to grow profitably and to capitalize on new opportunities."
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